HONG KONG (Reuters) - Hong Kong developer Chinese Estates Holdings (0127.HK) said its share holdings in China Evergrande Group (3333.HK) were expected to post an unrealised loss on fair value change of HK$5.9 billion ($752.1 million) in the first six months.
Chinese Estates, which holds a 6.5 percent stake in the nation’s No.2 property developer by sales, also expected a realised loss of HK$4.6 million in the first half for disposals of listed securities investments and treasury products including bonds, according to a statement.
The company did not state which bonds it disposed, but it also held bonds of Evergrande.
Unrealised loss on fair value changes of the remaining listed securities investments and treasury products was estimated to be HK$900 million.
As of the end of June, Evergrande shares have plummeted 26 percent this year.
Separately, Evergrande said it had spent HK$286 million ($36.5 million) to repurchase shares on Tuesday.
The company said in a statement to Reuters it bought back 1.413 million shares at prices between HK$19.32 and HK$20.8.
The stock rose 3.75 percent on Tuesday to HK$20.75 on the company repurchase.
Reporting by Clare Jim; Editing by Stephen Coates