CHINESE property developer Evergrande Real Estate Group Ltd. plans to invest a total of HK$1.2 billion (US$154 million) in a U.S. solar company and another Hong Kong-listed firm, in yet another move to diversify from the sluggish housing market.

    The Guangzhou-based developer plans to invest US$30 million for a 3.95 percent stake in San Francisco-based SPI Solar, a photovoltaic solar developer, Evergrande said in a stock exchange announcement late Tuesday.

    Evergrande also plans to buy 30.81 billion shares at HK$0.031 each in another Hong Kong-listed firm Guocang Group Ltd. This purchase would total around HK$966 million and represent about 73.59 percent of the entire issued share capital of Guocang, a loss-making liquor and wine manufacturer.

    Meanwhile, Evergrande said in the statement that SPI Solar would also be buying 7.5 million shares, or a 17.83 percent stake, in Guocang. Guocang said it is also looking to diversify into the solar energy business.

    Evergrande said the acquisitions would provide an opportunity for it to invest in and co-invest with SPI to develop business in the new energy sector. It also plans to utilize Guocang to gain access to the capital market.

    Evergrande, well known in China for owning a successful soccer team, said in August it would spend 10 billion yuan (US$14.7 billion) in China’s oil, grain and dairy markets. Last year, it started a new business line distributing bottled water.

    (SD-Agencies)