diff --git a/idea/src/org/jetbrains/kotlin/idea/kdoc/KDocRenderer.kt b/idea/src/org/jetbrains/kotlin/idea/kdoc/KDocRenderer.kt
index 3c986dec142..814e0b22446 100644
--- a/idea/src/org/jetbrains/kotlin/idea/kdoc/KDocRenderer.kt
+++ b/idea/src/org/jetbrains/kotlin/idea/kdoc/KDocRenderer.kt
@@ -118,79 +118,36 @@ object KDocRenderer {
     public fun MarkdownNode.toHtml(): String {
         val sb = StringBuilder()
         visit { node, processChildren ->
+            fun wrapChildren(tag: String, newline: Boolean = false) {
+                sb.append("<$tag>")
+                if (newline) sb.appendln()
+                processChildren()
+                sb.append("</$tag>")
+                if (newline) sb.appendln()
+            }
+
             val nodeType = node.type
             val nodeText = node.text
             when (nodeType) {
-                MarkdownElementTypes.UNORDERED_LIST -> {
-                    sb.appendln("<ul>")
-                    processChildren()
-                    sb.appendln("</ul>")
-                }
-                MarkdownElementTypes.ORDERED_LIST -> {
-                    sb.appendln("<ol>")
-                    processChildren()
-                    sb.appendln("</ol>")
-                }
-                MarkdownElementTypes.LIST_ITEM -> {
-                    sb.append("<li>")
-                    processChildren()
-                    sb.appendln("</li>")
-                }
-                MarkdownElementTypes.EMPH -> {
-                    sb.append("<em>")
-                    processChildren()
-                    sb.append("</em>")
-                }
-                MarkdownElementTypes.STRONG -> {
-                    sb.append("<strong>")
-                    processChildren()
-                    sb.append("</strong>")
-                }
-                MarkdownElementTypes.ATX_1 -> {
-                    sb.append("<h1>")
-                    processChildren()
-                    sb.append("</h1>")
-                }
-                MarkdownElementTypes.ATX_2 -> {
-                    sb.append("<h2>")
-                    processChildren()
-                    sb.append("</h2>")
-                }
-                MarkdownElementTypes.ATX_3 -> {
-                    sb.append("<h3>")
-                    processChildren()
-                    sb.append("</h3>")
-                }
-                MarkdownElementTypes.ATX_4 -> {
-                    sb.append("<h4>")
-                    processChildren()
-                    sb.append("</h4>")
-                }
-                MarkdownElementTypes.ATX_5 -> {
-                    sb.append("<h5>")
-                    processChildren()
-                    sb.append("</h5>")
-                }
-                MarkdownElementTypes.ATX_6 -> {
-                    sb.append("<h6>")
-                    processChildren()
-                    sb.append("</h6>")
-                }
-                MarkdownElementTypes.BLOCK_QUOTE -> {
-                    sb.append("<blockquote>")
-                    processChildren()
-                    sb.append("</blockquote>")
-                }
+                MarkdownElementTypes.UNORDERED_LIST -> wrapChildren("ul", newline = true)
+                MarkdownElementTypes.ORDERED_LIST -> wrapChildren("ol", newline = true)
+                MarkdownElementTypes.LIST_ITEM -> wrapChildren("li")
+                MarkdownElementTypes.EMPH -> wrapChildren("em")
+                MarkdownElementTypes.STRONG -> wrapChildren("strong")
+                MarkdownElementTypes.ATX_1 -> wrapChildren("h1")
+                MarkdownElementTypes.ATX_2 -> wrapChildren("h2")
+                MarkdownElementTypes.ATX_3 -> wrapChildren("h3")
+                MarkdownElementTypes.ATX_4 -> wrapChildren("h4")
+                MarkdownElementTypes.ATX_5 -> wrapChildren("h5")
+                MarkdownElementTypes.ATX_6 -> wrapChildren("h6")
+                MarkdownElementTypes.BLOCK_QUOTE -> wrapChildren("blockquote")
                 MarkdownElementTypes.PARAGRAPH -> {
-                    sb.append("<p>")
-                    processChildren()
-                    sb.appendln("</p>")
-                }
-                MarkdownElementTypes.CODE_SPAN -> {
-                    sb.append("<code>")
-                    processChildren()
-                    sb.append("</code>")
+                    while (sb.length() > 0 && sb[sb.length() - 1] == ' ') {
+                        sb.deleteCharAt(sb.length() - 1)
+                    }
+                    wrapChildren("p", newline = true)
                 }
+                MarkdownElementTypes.CODE_SPAN -> wrapChildren("code")
                 MarkdownElementTypes.CODE_BLOCK -> {
                     sb.append("<pre><code>")
                     processChildren()
@@ -218,6 +175,7 @@ object KDocRenderer {
                 MarkdownTokenTypes.TEXT,
                 MarkdownTokenTypes.WHITE_SPACE,
                 MarkdownTokenTypes.COLON,
+                MarkdownTokenTypes.SINGLE_QUOTE,
                 MarkdownTokenTypes.DOUBLE_QUOTE,
                 MarkdownTokenTypes.LPAREN,
                 MarkdownTokenTypes.RPAREN,
@@ -225,6 +183,9 @@ object KDocRenderer {
                 MarkdownTokenTypes.RBRACKET -> {
                     sb.append(nodeText)
                 }
+                MarkdownTokenTypes.EOL -> {
+                    sb.append(" ")
+                }
                 MarkdownTokenTypes.GT -> sb.append("&gt;")
                 MarkdownTokenTypes.LT -> sb.append("&lt;")
                 else -> {
diff --git a/idea/testData/editor/quickDoc/OnMethodUsageMultiline.kt b/idea/testData/editor/quickDoc/OnMethodUsageMultiline.kt
new file mode 100644
index 00000000000..ca871fb8889
--- /dev/null
+++ b/idea/testData/editor/quickDoc/OnMethodUsageMultiline.kt
@@ -0,0 +1,14 @@
+/**
+ * Some documentation
+ * on two lines.
+ */
+fun testMethod() {
+
+}
+
+fun test() {
+    <caret>testMethod()
+}
+
+//INFO: <b>internal</b> <b>fun</b> testMethod(): Unit <i>defined in</i> root package<br/><p>Some documentation on two lines.
+//INFO: </p>
diff --git a/idea/testData/editor/quickDoc/OnMethodUsageWithMarkdown.kt b/idea/testData/editor/quickDoc/OnMethodUsageWithMarkdown.kt
index 4b4f39acae9..7c54a82a753 100644
--- a/idea/testData/editor/quickDoc/OnMethodUsageWithMarkdown.kt
+++ b/idea/testData/editor/quickDoc/OnMethodUsageWithMarkdown.kt
@@ -1,5 +1,5 @@
 /**
- * Some documentation. **Bold** *underline* `code` foo: bar (baz) [quux] <xyzzy>
+ * Some documentation. **Bold** *underline* `code` foo: bar (baz) [quux] <xyzzy> 'apos'
  *
  * [Kotlin](http://www.kotlinlang.org)
  *
@@ -18,9 +18,13 @@ fun test() {
     <caret>testMethod(1, "value")
 }
 
-//INFO: <b>internal</b> <b>fun</b> testMethod(): Unit <i>defined in</i> root package<br/><p><p>Some documentation. <strong>Bold</strong> <em>underline</em> <code>code</code> foo: bar (baz) <a href="psi_element://quux">quux</a> </p>
-//INFO: <p>a href="http://www.kotlinlang.org">Kotlin</a></p>
-//INFO: <p><a href="psi_element://C">C</a></p>
-//INFO: <p><a href="psi_element://C">See this class</a></p>
+//INFO: <b>internal</b> <b>fun</b> testMethod(): Unit <i>defined in</i> root package<br/><p><p>
+//INFO: Some documentation. <strong>Bold</strong> <em>underline</em> <code>code</code> foo: bar (baz) <a href="psi_element://quux">quux</a>  'apos'</p>
+//INFO: <p>
+//INFO: a href="http://www.kotlinlang.org">Kotlin</a></p>
+//INFO: <p>
+//INFO: <a href="psi_element://C">C</a></p>
+//INFO: <p>
+//INFO: <a href="psi_element://C">See this class</a></p>
 //INFO:
 //INFO: </p>
diff --git a/idea/tests/org/jetbrains/kotlin/idea/editor/quickDoc/JetQuickDocProviderTestGenerated.java b/idea/tests/org/jetbrains/kotlin/idea/editor/quickDoc/JetQuickDocProviderTestGenerated.java
index 1432881e7b4..0980bbdf440 100644
--- a/idea/tests/org/jetbrains/kotlin/idea/editor/quickDoc/JetQuickDocProviderTestGenerated.java
+++ b/idea/tests/org/jetbrains/kotlin/idea/editor/quickDoc/JetQuickDocProviderTestGenerated.java
@@ -113,6 +113,12 @@ public class JetQuickDocProviderTestGenerated extends AbstractJetQuickDocProvide
         doTest(fileName);
     }
 
+    @TestMetadata("OnMethodUsageMultiline.kt")
+    public void testOnMethodUsageMultiline() throws Exception {
+        String fileName = JetTestUtils.navigationMetadata("idea/testData/editor/quickDoc/OnMethodUsageMultiline.kt");
+        doTest(fileName);
+    }
+
     @TestMetadata("OnMethodUsageWithBracketsInParam.kt")
     public void testOnMethodUsageWithBracketsInParam() throws Exception {
         String fileName = JetTestUtils.navigationMetadata("idea/testData/editor/quickDoc/OnMethodUsageWithBracketsInParam.kt");