CHINA Evergrande Group yesterday said it will sell 10 percent of its online home and car sales platform, Fangchebao (FCB) Group, to 17 investors for HK$16.35 billion (US$2.10 billion), in a fundraising ahead of the unit’s initial public offering (IPO).

FCB, with a pre-financing valuation of more than 150 billion yuan (US$22.92 billion), could list on the Nasdaq or other suitable stock exchange, Evergrande said in a bourse filing.

The Hong Kong-listed developer has said it would spin off several units to lower its debt amid tighter industry regulation and investor concern about its cash flow.

The firm listed Evergrande Property Services Group Ltd. in December, raising US$1.8 billion. In January, China Evergrande New Energy Vehicle Group Ltd. said it would raise US$3.4 billion by bringing in six new investors.

Evergrande was among the first domestic developers to start selling homes online and ran promotional campaigns as the coronavirus outbreak halted on-site sales. FCB comprises a suite of platforms for buying and selling real estate and other assets including new and used cars in China.

Evergrande said the FCB deal would see half of funds raised through selling existing stock and the other half by issuing new shares. The developer will use half of the funds for its own general corporate proposes.

The 17 investors include CITIC Capital and the family of the chairman of New World Development Co., plus the chief executive of Evergrande, Xia Haijun. (SD-Agencies)