E-House China Cuts Ties With Underperforming Leju VIE Units Amid Property Slump

E-House (China) Enterprise Holdings Limited ( (HK:2048) ) has shared an announcement.

E-House (China) Enterprise Holdings Limited has terminated its contractual arrangements with Beijing Yisheng Leju Information Services Co., Ltd. and its subsidiary Shanghai Leju Hao Fang Information Service Co., Ltd., after a prolonged downturn in China’s real estate market sharply reduced the contribution of these units, particularly their online advertising and largely discontinued real estate e-commerce coupon business. Following the termination, Beijing Leju and Leju Hao Fang are no longer treated as consolidated affiliated entities and their financial results will no longer be consolidated into the group, while the contractual arrangements with Beijing Jiajujiu E-Commerce Co., Ltd. remain in force and Leju Holdings Limited continues to be a subsidiary, signaling a strategic scaling back of underperforming operations while retaining core internet and advertising capabilities within the group structure.

The most recent analyst rating on (HK:2048) stock is a Hold with a HK$0.08 price target. To see the full list of analyst forecasts on E-House (China) Enterprise Holdings Limited stock, see the HK:2048 Stock Forecast page.

More about E-House (China) Enterprise Holdings Limited

E-House (China) Enterprise Holdings Limited is a China-focused real estate services and related technology group that, through subsidiaries including Leju Holdings Limited, has operated online advertising and e-commerce platforms serving the PRC property market. Historically, the group has relied in part on contractual arrangements with affiliated PRC entities to conduct internet and advertising-related businesses in sectors subject to foreign investment restrictions.

YTD Price Performance: -5.48%

Average Trading Volume: 1,142,893

Technical Sentiment Signal: Sell

Current Market Cap: HK$120.7M

Learn more about 2048 stock on TipRanks’ Stock Analysis page.