By Gina Lee

Investing.com – Developer China Evergrande Shares of Group (HK) fell by 4.8% Monday following the resignation of Chairman Hui Ka Yan. The company was seeking to raise $344 Million.

The company’s Hong Kong shares tumbled 8.40% to HK$2.29 ($0.29) by 11:53 PM ET (4:53 AM GMT). China Evergrande New Energy Vehicle Group Ltd. shares also fell 13.11%, to HK$4.11, after China Evergrande stated that it is still looking for ways to inject capital into the electric vehicle unit.

The company announced Friday that Hui had sold total of 1.2 million China Evergrande shares. The shares had an average price of HK$2.23 each, a 20% discount to the closing price on Nov. 24, and lowered Hui’s stake to 67.9% from 77%. They were not identified.

China Evergrande desperately needs capital in order to address its over $300 billion of liabilities. Chinese authorities have said that Hui will use some part of his personal assets to aid bondholders.

Investors now wait to find out if the company can meet its coupon payment obligations totaling $82.5 Million that was due Nov. 6. Dec 6 is the last day of the 30-day grace period.

China Evergrande has been the leading player in China’s real estate sector, dealing with credit downgrades and other debt problems. Fantasia Holdings Group Co. Ltd. HK: suspended trading on its Hong Kong shares Monday in anticipation of the release information. On Thursday, it stated that a petition for winding up was filed against an unit in relation to an unpaid loan.