Street Calls of the Week
Investing.com-- Shares of Evergrande Property Services Group (HK:6666) surged on Friday after the company said it had received initial takeover interest, raising hopes of a potential change of control for the cash-strapped developer’s property management arm.
The company disclosed that the liquidators of China Evergrande Group, which controls a 51% stake in Evergrande Property, have been actively seeking buyers and entered confidentiality agreements with potential investors.
Hong Kong-listed stock surged as much as 40% to HK$1.29 as of 04:07 GMT, reaching its highest level in nearly a year.
Several non-binding indicative offers had been received as of Sept. 9, Evergrande Property said in a filing.
The liquidators plan to invite selected bidders to submit final proposals around November 2025, with the aim of negotiating definitive terms for a transaction.
Evergrande Property cautioned that the process remains at a preliminary stage and there is no assurance a deal will be reached.
Parent firm Evergrande has been in a deep financial crisis since defaulting in 2021, owing more than $300 billion across various onshore and offshore obligations.