Evergrande shareholder Chinese Estates shelves plans to go private (updated)

Chinese Estates Holdings

17/12/2021 12:45

(Adds background, trading details)
    Dec 17 (Reuters) - Chinese Estates Holdings  0127.HK , a
major stakeholder in embattled developer China Evergrande
 3333.HK , said on Friday its plans to go private had fallen
through as its shareholders had rejected the proposal.
    The company, which is the third-largest shareholder of
Evergrande, received a proposal to be taken private from the
British Virgin Islands-based company for HK$1.91 billion
($245.30 million) in early October. 
    Chinese Estates, however, said the proposal did not pass in
a shareholder vote that took place earlier in the day.
    The company also said it had made an application to resume
trade on the Hong Kong stock exchange from Dec. 20.
    Chinese Estates owned about 4.7% of Evergrande's equity
capital as of Sept. 27, according to Refinitiv Eikon data. 
    The company has mandated a sale of all or part of the
remaining Evergrande stake either on the market or through block
trades.  urn:newsml:reuters.com:*:nL1N2QP02Q urn:newsml:reuters.com:*:nP8N2SD01U
    Evergrande, which has more than $300 billion in liabilities,
missed a debt payment deadline last week, putting it at risk of
becoming the country's biggest defaulter.  urn:newsml:reuters.com:*:nL1N2SU0DD

    ($1 = 7.8023 Hong Kong dollars)

 (Reporting by Harish Sridharan in Bengaluru; Editing by Amy
Caren Daniel and Anil D'Silva)
 ((Harish.Sridharan@thomsonreuters.com;))