Hong Kong () – Chinese real estate maker Sunac China Holdings Ltd said on Thursday it plans to raise $ 4.52 billion ($ 580.09 million) from loan repayments and the sale of shares for general corporate purposes.
The Hong Kong-listed developer plans to sell 452 million new shares, or 8.3 percent of its expanded charter capital, to Sunac International Investment Holdings, a controlling shareholder, the Hong Kong Stock Exchange said in a statement.
The new shares will be issued for HK $ 10 each, which means a 15.3% discount on HK $ 11.80 on Wednesday’s closing price.
In day trading, Sunac shares fell 22% to HK $ 9.2, down 0.2% in the broader market.
A source close to Sunac said the company has no plans to place its stake or shares in the Sunac Services unit to raise capital in the near future and has sufficient funds to meet its short-term debt obligations and develop the project.
Sunac China did not immediately respond to a request for comment.
Sunac last issued new shares and sold its stake in Sunac Services in November, raising a total of $ 948 million.
Sunac Services told investors on Tuesday that there were no plans to place shares or deals with newly linked parties, and that it would continue to buy the shares, according to a report by brokerage firm Jefferies.
In the final placement of shares, the owner of the controlling stake acquires new shares after selling the same number of existing shares to third party investors at the same price.
Morgan Stanley & Co. International plc is a placement agent.
(1 dollar = 7.7919 Hong Kong dollars)
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