BUSINESS

Sunac to Buy Construction Management Unit in Post-Restructuring Pivot

Published: Aug. 25, 2026 4:01 p.m. GMT+8

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Sunac China said it plans to acquire a 100% stake in Erjin Construction Management Group for 123 million yuan. Photo: VCG

Sunac China Holdings Ltd. is moving to reshape its property business after completing its onshore and offshore debt restructurings, shifting away from development toward asset management and construction-management services.

The developer said in a filing Monday that it plans to acquire 100% of Erjin Construction Management Group Co. Ltd. for about 123 million yuan ($18.3 million), paying entirely in new shares. Sunac will issue about 260 million shares at HK$0.547 each.

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Sunac China will acquire Erjin Construction Management for 123 million yuan, paid entirely in new shares, as part of a shift toward asset-light services.
Erjin had 73 projects covering 8.34 million sqm and after-tax profit of nearly 25 million yuan in 2025, up 26% year-on-year.
Sunac's 2025 revenue fell 39% to 45.1 billion yuan, with a net loss of 12.3 billion yuan and interest-bearing debt of 188.3 billion yuan.

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Who’s Who

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What Happened When

Before：: Sunac China Holdings Ltd. completed its onshore and offshore debt restructurings.

2022：: Erjin Management's predecessor, a construction-management platform, was established.

2025 (earlier year)：: Erjin Management's after-tax profit (basis for comparison, approximately).

2026：: Erjin Management secured 73 projects covering about 8.34 million square meters; reported after-tax profit of nearly 25 million yuan (up about 26% from 2025).

2026：: Sunac reported revenue of 45.1 billion yuan (down 39%) and net loss of 12.3 billion yuan; also revived 12 property projects via structures with outside investors, expecting about 11.2 billion yuan external funding.

End of 2026：: Interest-bearing debt stood at 188.3 billion yuan.

Monday (filing date, unspecified)：: Sunac announced plan to acquire 100% of Erjin Construction Management Group Co. Ltd. for about 123 million yuan, paying entirely in new shares (about 260 million shares at HK$0.547 each).

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