Chinese real estate services company E-House Holdings Ltd will acquire its NYSE-listed subsidiary E-House (China) Holdings for $6.85 per American depositary share.
The rather confusing merger arrangement was approved by approximately 89.79 per cent of the company's shareholders in an extra ordinary general meeting held on Friday based on the recommendation of a special independent committee.
The E-house board of directors unanimously approved the merger in April and resolved to recommend shareholders also vote to go ahead with the transaction.
The merger, expected to be complete during August, means E-house will effectively become a privately held company and its ADRs will no longer be listed on the New York Stock Exchange.
The company's stock slowly improved over the day following the announcement, closing at $6.78 on August 6th, a 15 per cent improvement on the previous day, but not quite reaching the $6.85, high it achieved not long after the initial merger announcement in April.
E-House is China's leading real estate services company with a nationwide network covering more than 260 cities.
The Shanghai-based company offers a wide range of services to the real estate industry, including online real estate services through its 70 per cent-owned subsidiary, Leju Holdings Limited.
Leju offers primary sales agency, secondary brokerage, information and consulting, offline advertising and promotion, real estate investment management and financial services, and mobile community value-added services.
E-House has received numerous awards for its innovative and high-quality services, including "China's Best Company" from the National Association of Real Estate Brokerage and Appraisal Companies and "China Enterprises with the Best Potential" from Forbes.