Chinese Estates Holdings, the second-largest shareholder of heavily indebted property developer China Evergrande, announced that it has sold $32 million worth of its Evergrande stake and intends to exit the holding completely, reports Reuters.
Chinese Estates, which owned about 6.50% of Evergrande’s equity capital as of September 10, said it has mandated a sale of all or part of its remaining 5.66% Evergrande stake, worth around $219 million, either on the market or through block trades.
The disposal mandate will be valid for 12 months from the date of a shareholders’ meeting on September 23 to approve the sale, it said in a statement to the Hong Kong stock exchange.
Struggling Evergrande announced that it had “resolved” interest payments for an onshore bond due this week, reports the Financial Times, but did not say when it would make the payments and, crucially, failed to shed any further light on an important deadline it faces on Thursday for its international bonds.
