The Asia-focused firm is negotiating for a 51% stake in Evergrande Property Services, which has a market value of just under $1.6 billion. Exclusivity runs to Oct. 27.
October 9, 2026
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A buyer has emerged for the most saleable asset left in the wreckage of China Evergrande Group.
PAG, the Asia-focused investment firm, is in exclusive talks to acquire a majority stake in Evergrande Property Services, according to two people close to the transaction. PAG declined to comment. Evergrande's liquidators also declined to comment, and the property-services company did not respond to a request for comment.
The process
Evergrande Property Services said on Sept. 30 that its controlling shareholders, China Evergrande Group and CEG Holdings (BVI), had entered an exclusivity agreement with a selected bidder for a potential sale of their shares, without naming the bidder. The exclusivity period ends on Oct. 27.
The liquidators told the developer a year ago that they were seeking to sell a 51.016% stake in the unit. The financial terms of PAG's potential offer have not been disclosed.
The scale
Evergrande Property Services had a market value of slightly under $1.6 billion on Friday. At that level, a 51% stake would be worth a little over $800 million before any control premium or discount. Its shares have fallen 87% since its 2020 listing. The stock rose nearly 5% in late Hong Kong trading after the talks were reported.
Set against the liquidation, the sum matters. Evergrande defaulted on most of its roughly $300 billion of liabilities, and creditors' claims in the liquidation total about $45 billion. As of August, the liquidators had sold only about $255 million of assets. A sale near the current market value would be several times that total.
A Hong Kong court ordered Evergrande liquidated in 2024, and its parent's shares were delisted last year.
The buyer
PAG has experience in Chinese property services. In 2024 it led a group of investors that bought a 60% stake in Dalian Wanda Group's mall-management business for $8.3 billion. Property-management companies collect fees for running residential and commercial buildings and depend less on new construction than developers do.
Two readings
One reading is that this is a well-matched deal. A specialist buyer is taking control of a fee-based business at a deep discount to its listing price, and the liquidators get their largest recovery to date.
Another reading is that the discount reflects real risk. Evergrande Property Services' business depends on a portfolio of projects built by a collapsed developer, contracts may be renegotiated, and exclusivity is not a signed deal; a previous sale process for the unit ended in June without a transaction.
Next dates
Oct. 27 is the end of exclusivity. A signed agreement, the price per share and any requirement for a general offer to minority holders under Hong Kong takeover rules would follow if talks succeed.