Reuters

Evergrande backer Chinese Estates’ stock soars on take-private offer

Shares of Chinese Estates Holdings, a former major shareholder of embattled developer China Evergrande, jumped as much as 32% on Thursday after it announced an offer to be taken private for HK$1.91 billion ($245 million). The Hong Kong developer said on Wednesday the family of Chinese Estates’ biggest shareholder, Joseph Lau, had proposed to take it private by offering minority shareholders a 38% premium to its last traded price. The offer represents the latest move by Lau and China Estates to emerge from the shadow of Evergrande, which is floundering due to a huge debt load and threatening the Hong Kong company’s future.

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