Chinese real estate portal operator Fang Holdings Limited has announced that it has signed a definitive agreement relating to a $92 million deal which would see China Index Holdings Limited (CIH) go private.
China Index Holdings Limited (NASDAQ: CIH) is a leading real estate information and analytics service platform provider that was spun off from Fang in 2019.
The deal would re-merge CIH with its parent with the price representing a 46% premium on the average closing price over the last 30 trading days prior to the announcement. The board of directors of the Company and its audit committee have approved the deal which is expected to close in Q1 of 2023.
News of the deal comes amid continuing poor performance among Chinese portal operators and the real estate sector in general. Chinese real estate portal companies have suffered on the back of a market slowdown over the past few years as those that report publicly have seen record losses.
Fang.com was delisted from the New York stock exchange earlier this year after failing to file financial reports with the SEC. The company was also one of two Chinese portal companies that mysteriously sacked their western auditors this year.