Tag Archives: Evergrande

Evergrande boosts talent housing

Evergrande Group, China’s largest developer, has won two residential plots at a government auction in Guangzhou for a total of RMB5.7 billion. The two parcels are less than one kilometer from the industrial site Evergrande acquired in April to build its base for new energy vehicles.

Covering an area of 51,000 square meters, the two parcels are located inside Guangzhou Nansha’s Bonded Port, which is planned for the development of a comprehensive service sector and advanced manufacturing.

Evergrande is required by the local government to build talent apartments on the plots, including a 30-class primary school and a 18-class kindergarten. Upon their completion, the talent apartments will be resold to the organization units designated by Nanshan Development Zone Administrative Committee at the price of RMB3500 per square meter.

Evergrande teams up with State Grid for e-chargers

Will China’s fragmented and somewhat messy New Energy Vehicle market be cleaned up soon by the creation of a national champion? The question might be premature, but it gained impetus today with announcement that the country’s biggest real-estate developer, Shenzhen-based China Evergrande, had teamed up with the State Grid Corp to create a network of electric-vehicle (EV) charging stations, reports Caixin Global. 

State Grid made the announcement, saying it has set up a RMB180 million 50-50 joint venture with the technology arm of Evergrande Group to combine its near-monopoly electricity distribution resources and Evergrande’s property management expertise. 

Continue reading Evergrande teams up with State Grid for e-chargers

Ping An leads GBA in Fortune China 500

The prestigious Fortune China 500 list has been released for 2019, with GBA companies standing out in measures of both revenues and profits. Shenzhen-based Ping An, which began as an insurer but is now more of a fintech firm, is the GBA’s leading light, ranking No. 4 in revenues and No. 6 in profits nationwide. 

A total of 86 from the GBA made the top 500. Moreover, 12 of the top 40 most profitable were from the GBA.

Continue reading Ping An leads GBA in Fortune China 500

Evergrande, BYD, power ahead in NEVs

Two of Shenzhen’s best-known brands are surging ahead in production of New Energy Vehicles. One of them just happens to be a property developer that is currently reinventing itself as a tech company.

According to local media, China Evergrande has begun mass production of its first new-energy vehicle just six months after unveiling plans to enter the industry. This is not thanks to home-grown brilliance, of course. It is thanks to Swedish technology, which was bought [note to the Trump Administration: not stolen] as part of the company’s purchase of a Swedish electric-car company that has designs from the now-defunct Saab brand.

The Evergrande subsidiary producing the cars is NEVS (National Electric Vehicle Sweden), which has begun production of a Saab 9-3 derived electric vehicle. The factory in Tianjin is capable of assembling 50,000 units per year.

According to a report in a European news site, specifications of the electrified Saab 9-3, which is now called NEVS 9-3 (or NEVS 9-3X in case of the estate version) are unknown. The car will be produced only for the Chinese market – there are no plans to export it to the rest of Asia, Europe or North America.

As reported recently, Evergrande has major ambitions for the NEV market. It has secured land in Guangzhou’s Nansha district for three large-scale production, design and R&D facilities, with the aim of outputting 1 million vehicles annually by 2022. Currently, China has only 2.3 million electric vehicles on the roads, but production is ramping up this year.

Across town, meanwhile, BYD, the Buffet-backed car company that produces mostly battery-powered cars and buses, is seeing its sales surge. And this is before the latest relaxation of government curbs on the vehicle industry that were designed to stoke demand.

BYD sold 26,571 NEVs in June, up 55% YoY. That brought sales in the first half of this year, to 145,653 units, up 94.5% YoY. 

BYD announced six new electric-powered vehicle models at the Shanghai auto show earlier in April. The company reportedly plans to offer a wide range of options, including sedans and sport utility vehicles.

It is potentially a huge market to vie for. Shenzhen’s city government has set the pace for adoption of electric vehicles, making its entire taxi and bus fleets zero-emission. Beijing has recently said it will follow suit, and now it seems every major city is lining up to do the same. Even third-tier cities such as Jiangmen, on the western side of the Greater Bay, have announced they will move to EV-only public transport.

Tencent plans $5b dollar bond sale

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Shenzhen-based Tencent is planning to raise about US$5 billion in US dollar-denominated bonds this week, reports Reuters.

The deal could be Asia’s largest so far this year, Refinitiv data shows. Chinese property developer Evergrande, also Shenzhen-based, sold $2.8 billion in bonds in January, currently the biggest issue.

Tencent said in an exchange filing on Monday it had increased its Global Medium Term Note Programme limit to $20 billion from $10 billion and that it planned to conduct an “international offering”, without specifying any size. The tech giant has a US$6 billion offshore issuance quota from China’s state planner, the National Development and Reform Commission (NDRC), Reuters cites an unnamed source as saying.