HONG KONG, Nov 10 (Reuters) - China Evergrande's
electric vehicle unit said on Wednesday it plans to sell HK$500
million ($64.2 million) worth of shares to fund production of
new-energy cars, including those made by its Hengchi brand.
China Evergrande New Energy Vehicle Group Ltd
plans to sell 174.83 million new shares, or 1.76% of the
enlarged share capital, in a top-up placement, it said in a
filing to the Hong Kong bourse on Wednesday.
The new shares will be sold at HK$2.86 apiece, representing
a 19.89% discount to Tuesday's close of HK$3.57 each, to its
controlling shareholder Evergrande Health Industry Holdings Ltd.
The controlling shareholder will buy the new shares on
completion of the sale of the same amount of existing shares at
the same price to third-party investors.
China Evergrande New Energy Vehicle said the move was aimed
at paving the way for Hengchi new-energy vehicles to start
The electric-vehicles unit is seeking Chinese regulatory
approval to sell its inaugural Hengchi 5 sport-utility vehicles,
as the embattled company vows to start making cars early next
The directors had considered various options of raising
funds, it said.
China Evergrande, the world's most indebted developer, has
been stumbling from debt-repayment deadline to deadline as it
grapples with more than $300 billion in liabilities.
($1 = 7.7840 Hong Kong dollars)
(Reporting by Donny Kwok; Editing by Sam Holmes and Stephen