Evergrande shares surge 66% on Faraday deal

Shares in the Hong Kong-listed health unit of property developer Evergrande Group soared 66 percent to HK$7.67(98 US cents) a share on Tuesday, a day after it said it would buy a 45 percent stake in United States-based luxury electric carmaker Faraday Future.

Evergrande Health Industry Group Ltd, a unit of Evergrande Group, acquired the Faraday stake for $860 million through its purchase of Hong Kong's Season Smart Ltd, it said in a filing on Monday. The deal will also make it the biggest shareholder in Faraday Future.

The struggling Faraday Future, set up by beleaguered LeEco founder Jia Yueting, had said on Monday that it received approval from the US Committee on Foreign Investment for a $2 billion capital infusion from Season Smart, as part of a stake deal last year. Jia will officially take the role of global CEO at Faraday.