Source: National Business Daily

Evergrande, which was listed yesterday, opened quotation at 4 HKD/share. Later, the stock price was adjusted at small margins. Half an hour before the market closes, the trading volume increases suddenly, and the stock price "rose accordingly". At the closing in the afternoon, the stock price of Evergrande was 4.7 HKD, increasing by 34.28% than the issue price. Calculated based on the closing price yesterday, the total market value of Evergrande is about 70 billion HKD, ranking the first among mainland property enterprises.
        The property of Xu Jiayin, who owns 68.01% of shares of Evergrande, also rises to 47,949 million HKD (about 42,200 million yuan), which is higher by several billion yaun than that of Wang Chuanfu of BYD (39,600 million yuan), the richest person in mainland China as publicized by Forbes on the same day.
        Xu Jiayin, with a smiling face, declared at the brief news conference after the listing ceremony, that the Qidong Project in Jiangsu, which is only one hour’s drive from Disneyland in Shanghai, will be constructed into a high-quality tourist property project and will be sold as soonest as the next year.

        Listing strongly supported by agencies and institutions
        Yesterday, the heads of a number of investment banks and securities dealers, including Merrill Lynch, Goldman Sachs, BOCI, JP Morgan, Nomura Securities and Chinese Life Insurance, attended the opening ceremony for listing of Evergrande. Henry Cheng, president of New World Development Co., Ltd., and one of the fundamental investors of Evergrande, also attended the listing ceremony of Evergrande.
        During the listing ceremony which lasted 30 minutes, Xu Jiayin, with a smiling face, shook hands with and hugged almost every senior executive and personages from the financial community in Hong Kong who attended the ceremony, and took a group photo with them. According to well-informed persons who are close to Evergrande, before listing in Hong Kong, Xu Jiayin instructed his staff repeatedly that they should never forget every friend who had helped Evergrande when Evergrande was in difficulty.
        In fact, the listing of Evergrande was suspended last year due to the financial storm and Evergrande was also in trouble with funds. But with the investment by Henry Cheng, Merrill Lynch and Deutsche Bank, Evergrande survived the chilly winter for the real estate market, welcomed the "little spring" in the domestic real estate market and was finally listed at Hong Kong Exchange Union.
        The big increase of the stock price of Evergrande in the H stock market also brings great returns to these investors. Take Henry Cheng, who invested 1,170 million HKD to obtain 3.9% of shares of Evergrande last year, as an example, when the opening quotation of Evergrande reaches 4 HKD, his investment return has exceeded 100%.
However, Henry Cheng is not going to sell off his shares. He indicates that he is confident in the strength and development potential of Evergrande and will make long-term investment in Evergrande.

         Evergrande also has the "Disneyland" concept
         Before this, such mainland property enterprises as China South City, Powerlong and Yuzhou had suffered the setbacks where their share prices fell below the issue prices on the first day of listing. Yuzhou Properties, which was listed on November 2, offered the issue price at the lower limit which was 2.7 HKD / share, but the stock price later still fell below the issue price on the first day of listing. Such vicious circle severely affects the IPO process for mainland property enterprises. Excellence Group suspends its listing, Fantasia postpones its listing. News is also heard from SCE and SUNAC and other property enterprises which intend to be listed recently that they have postponed their plan of listing.
         Under such circumstance, the high stock price of Evergrande undoubtedly injected the "excitant " into these mainland property enterprises which are hesitating about listing. In fact, at the listing ceremony yesterday, a lot of investors said that the increase of the stock price of Evergrande made them feel that high-quality new mainland property stocks are still worth investing.
         It is reported that the moderate issue price of 3.5 HKD per share is just one of the reasons that attract investors to “seek after” Evergrande. What makes the investors confident is the “Disneyland” concept of Evergrande. According to Xu Jiayin, the Qidong Project in Jiangsu is only one hour’s drive from the site intended to be used by Disneyland in Shanghai, with only a huge bridge between the them. Evergrande intends to make use of the settlement of Disneyland in Shanghai, and to build the project into a high-quality beautiful tourist and holiday village. The project will be launched into the market as soonest as the next year.