BoA Merrill sells remaining stake in Evergrande

The $175 million transaction comes as the share price finally returns above last year's IPO price.

A block of shares in Evergrande Real Estate Group changed hands last night when Indopark Holdings, a wholly owned unit of Bank of America Merrill Lynch, sold its remaining stake in the Chinese property developer. The HK$1.36 billion $175 million deal came after Evergrande chairman Hui Ka-yan on Monday said that he had settled a $1.2 billion payment owed to the strategic investors because the share price had failed to stay above the HK$3.50 IPO price.

Hui had promised he would compensate the strategic investors if the average share price fell below the IPO price between May 5 six months after the Hong Kong listing and November 5, and there had been some...

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