HONG KONG: China Evergrande Group is in talks to buy a building in Hong Kong’s Wan Chai area owned by Malaysian government, Ming Pao reports, citing unidentified people familiar with the matter.

The Malaysian government plans to sell the 28-storey Malaysia building for HK$3.1bil or nearly RM1.61bil.

Evergrande has asked VMS Securities to raise HK$4bil for the purchase, according to Ming Pao.

Evergrande issued HK$4bil floating rate senior secured notes due 2020 in November 2018 with CMBC Capital Holdings subscribing in the principal amount of HK$234mil.

According to the report, the deal is expected to be closed soon.

Evergrande didn’t reply to Ming Pao’s request for comment before the publishing of the article. - Bloomberg