Mingtiandi

Asia Pacific real estate investment news and information

  • Facebook
  • LinkedIn
  • RSS
  • Twitter
Remember Me

Lost your password?

Register Now

Loading...
  • Capital Markets
  • Events
    • Mingtiandi 2025 Event Calendar
    • Mingtiandi APAC Residential Forum 2025
    • Mingtiandi Singapore Forum 2025
    • Mingtiandi APAC Logistics Forum 2025
    • Mingtiandi APAC Data Centre Forum 2025
    • Mingtiandi Tokyo Forum 2025
    • More Events
  • MTD TV
    • Residential
    • Logistics
    • Data Centre
    • Office
    • Singapore
    • Tokyo
    • Hong Kong
    • All Videos
    • Post-Event Stories
  • People
    • Industry Moves
    • MTD TV Speakers
  • Logistics
  • Data Centres
  • Asia Outbound
  • Retail
  • Research & Policy
  • Advertise

Beike Faces Possible Delisting by 12 May After Appearing on SEC Watchlist

2022/04/23 by Christopher Caillavet Leave a Comment

lianjia

Beike owns the Lianjia property agency in China and the Ke.com property listing website

Housing broker Beike could face delisting from the New York Stock Exchange within three weeks after the Chinese firm’s American-listed entity this week was added to a US government watch list of public companies whose books are blocked from regulatory review.

Beike, which went public in New York in August 2020 and has seen its stock price slide 64 percent since that debut, has until 12 May to clear up the matter or face a delisting of its American depositary shares, which trade under the name KE Holdings.

The Beijing-based company was added to a US Securities and Exchange Commission watch list on Thursday after falling afoul of the Holding Foreign Companies Accountable Act, which requires that companies listed on US exchanges make available the source documents behind their audited financial statements.

“The company has been actively exploring possible solutions to protect the interest of its stakeholders,” Beike said Thursday in a release. “The company will continue to comply with applicable laws and regulations in both China and the US, and strive to maintain its listing status on the New York Stock Exchange.”

Held to Account

According to the SEC, the records of the companies on the watch list, including Ke Holdings, cannot be inspected or investigated completely by the US Public Company Accounting Oversight Board, due to a position taken by an authority in a foreign jurisdiction.

Carson Block

Carson Block’s short sale of KE Holdings is looking prescient

The companies identified under the US rules are primarily Chinese concerns, including big names like internet company Sohu, cafe chain Luckin Coffee, wealth management firm Noah Holdings and Hong Kong-based casino operator Melco Resorts & Entertainment, led by Lawrence Ho.

Beike, which owns the Lianjia property agency in China and the Ke.com property listing website, saw its accounting come under the microscope last December when Muddy Waters Research issued a report accusing the company of “systemic fraud” and “massive discrepancies” in its financial statements.

Among other disparities, US-based Muddy Waters alleged a 126 percent inflation of the number of new home sales handled through Beike’s platform, a metric that forms the primary basis for the company’s revenues. The investment firm has been short-selling Beike’s shares, which are down about 35 percent since the report.

Beike issued a statement at the time portraying the Muddy Waters report as without merit and riddled with factual errors, unsubstantiated statements and misleading speculations and interpretations that showed “a lack of basic understanding of the housing transactions industry in China”.

But the firm founded by Carson Block has been on target before, making a name for itself by exposing fraud at since-bankrupt Chinese firms like Luckin Coffee, Sino-Forest and NQ Mobile while shorting their stocks.

Fending Off Legal Action

Beike filed its annual report for 2021 with little fanfare earlier this week. In the document, Beike acknowledged that a US class-action lawsuit had been filed against the company in late December, with the plaintiffs seeking damages as a result of alleged misstatements and omissions in Beike’s SEC filings and public disclosure documents.

“We intend to vigorously defend ourselves against this and any related litigation,” Beike said in a filing with the SEC.

The firm founded by the late Zuo Hui posted 2021 revenue of RMB 80.8 billion ($12.7 billion), up 14.6 percent year-on-year, and a net loss of RMB 524.8 million ($82.3 million), backsliding from a net profit of RMB 2.8 billion in 2020.

Last September, Reuters reported that Beike was planning a Hong Kong stock listing and had gone so far as to hire Goldman Sachs to lead a float, but the company denied having an “imminent plan” for an HKEX listing or any share sale.

Share this now

  • LinkedIn
  • Share
  • Tweet
  • Email

Filed Under: Finance Tagged With: Beike Zhaofang, daily-sp, Featured, Lianjia, NYSE

Leave a Reply

Your email address will not be published. Required fields are marked *

Get Mingtiandi Delivered

  • This field is for validation purposes and should be left unchanged.

MTD TV

Ben Cha 2
Serakai’s Cha Sees Placemaking as Key to the Future of Asian Retail
Fion Ng, BW Industrial
Supply Chain Shifts Continue to Drive India and Southeast Asia Logistics Growth: MTD TV

More MTD TV Videos>>

People in the News

David Matheson ESR
Asia Real Estate People in the News 2025-10-06
yan lintong capitaland
Asia Real Estate People in the News 2025-09-27
Link executive director and group chief executive officer George Hongchoy
Link Promotes Saunders to Board Seat as Hongchoy to Retire at Year-End
Koichiro Maeda Principal
Asia Real Estate People in the News 2025-09-22

More Industry Professionals>>

Latest Stories

Bart Price, Vita Partners
Warburg-Backed Vita Selling Singapore Assets to CapitaLand Ascendas REIT for $438M
KKR Japan CEO Hiro Hirano
KKR Selling One-Fifth Stake in Logistics Operator Logisteed to Japan Post for $944M
ADIA chairman Tahnoon bin Zayed al-Nahyan
Blackstone Takes on $5B Persian Gulf Logistics Partnership and More Asia Real Estate Headlines

Sponsored Features

Otto Von Domingo, Vistra
APAC Real Estate Investors Adjust to More Active, Specialised Strategies: Vistra-APREA
Kathy Lee, Colliers
The Terrain has Shifted in Hong Kong’s Education Sector
Bernie Devine,
From Tools to Traction: Where Real Estate Tech is Heading in 2026

More Sponsored Features>>

Connect with Mingtiandi

  • Facebook
  • LinkedIn
  • RSS
  • Twitter

Real Estate News

  • Capital Markets
  • Mingtiandi 2025 Event Calendar
  • MTD TV Archives
  • People
  • Logistics
  • Data Centres
  • Asia Outbound
  • Retail

More Mingtiandi

  • About Mingtiandi
  • Contact Mingtiandi
  • Mingtiandi Memberships
  • Newsletter Subscription
  • Advertise
  • Terms of Use
  • Privacy
  • Join the Mingtiandi Team


© 2007-2025 China Advertising Media Ltd (Samoa). All rights reserved.

We use cookies in accordance with our Privacy policy to provide the best user experience on Mingtiandi and to safeguard user data. By continuing to browse you consent to the policy.