Evergrande Property's Hong Kong IPO meets with lukewarm reception, raises US$1.8bil

Setting standards: An exterior view of China Evergrande Centre in Hong Kong. Aggressive promotions and online sales by the company are expected to put pressure on others firms. - Reuters

HONG KONG: Evergrande Property Services Group's Hong Kong IPO priced at the lower end of expectations to raise $1.8 billion, three sources said, the tepid demand underscoring concerns about the financial health of its debt-laden parent.

The offering comes after a run of setbacks for China Evergrande Group, the country's second-biggest and most indebted property developer with some $124 billion in borrowings as of June.