China Evergrande Group’s joint and several liquidators agreed to sell control of its property-services affiliate to a PAG-owned buyer for HK$4.026 billion, a transaction intended to realize assets for creditors and other stakeholders.
Evergrande Property Services disclosed the transaction in a joint filing on Oct. 30, after the purchase agreement was signed Oct. 28. Everest Holdings I Limited, ultimately owned by PAG, would acquire 5,515,229,000 shares from China Evergrande and CEG Holdings, both in liquidation. The stake represents about 51.016% of the company. China Evergrande’s portion is 147,155,000 shares at HK$0.8359 apiece; CEG Holdings would transfer 5,368,074,000 shares at HK$0.7271 each.
The sale followed a competitive auction, according to the filing. Completion depends on several conditions, including approval from SAMR under China’s merger-control rules. The parties cannot waive that requirement, and none of the completion conditions had been met as of Oct. 30.
After completion, Everest would have to make an unconditional cash offer for the shares it does not own. The offer price of HK$0.8359 is 29.5% below the HK$1.185 close recorded Oct. 28, the last trading session before the announcement.
A related letter agreement calls for RMB500 million at closing to address specified CEG Holdings taxes, transaction costs and other liabilities. If every remaining shareholder accepted the offer, payments under the share purchase, letter agreement and offer could total HK$9.037 billion, the filing estimates.
The High Court of Hong Kong appointed China Evergrande’s joint and several liquidators on Jan. 29, 2024, the day it ordered the company wound up. Everest said it intends to retain the Hong Kong listing and does not expect major changes to business operations or ongoing employment. It may nominate new directors when permitted.
For the six months ended June 30, 2026, Evergrande Property Services recorded unaudited revenue of RMB6.943 billion and profit of RMB503.25 million.
