A recent US$877 million share buy-back by real estate developer Guangzhou Evergrande has market observers puzzled regarding the Hong Kong-listed firm’s financial strategy.

The shares were purchased by the developer over a two week period this month, and amount to 6.33 percent of the company’s total stock. This move follows soon after an unexpected RMB 2.3 billion (US$378 million) special dividend that the company paid to shareholders in November.