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 Tracking 1258 U.S. listed China Stocks and Counting...
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 E-House (china) H (NYSE:EJ)

Tuesday, September 9, 2014
Comments & Business Outlook

SEATTLE, Sept. 9, 2014 /PRNewswire/ -- Zillow, Inc. (NASDAQ: Z), the leading real estate information marketplace, is now powering the U.S. real estate search for Leju Holdings Limited ("Leju") (NYSE: LEJU), an affiliate of E-House (China) Holdings Limited (NYSE: EJ), a leading real estate services company in China. Leju operates several leading real estate and home furnishing websites of SINA Corporation, Baidu Inc., and its main website, leju.com, as well as various mobile applications along with local websites covering more than 250 cities.

Chinese home shoppers who search for U.S. homes on Leju's platforms now have access to Zillow's robust home search experience, rich data on homes, millions of for-sale listings, and unique pre-market inventory, through a co-branded Zillow�-Leju site.

"Chinese home shoppers represent an untapped opportunity not only to U.S. sellers, but to agents and brokers as well," said Amy Bohutinsky, Zillow chief marketing officer. "Chinese home buyers spent $22 billion in the U.S.i last year � nearly doubling what they spent in the previous yearii � and this co-branded site will make it easy for them to not only find the U.S. home of their dreams, but also connect with a local real estate professional who can help make that dream a reality. We are excited to offer this opportunity to the thousands of brokers and agents who choose to market their listings on Zillow."

Agents and brokers whose listings appear on Zillow will also automatically appear on the co-branded site, with no additional effort or cost. Chinese buyers are the largest population of foreign buyers of U.S. homes.  The median price of the homes they purchased was approximately $523,148, with 76 percent of purchases reported as all-cash purchases. iii

"We are pleased to offer Leju visitors the opportunity to have unparalleled access to the number one real estate website in the U.S.," said Geoffrey Yinyu He, Leju's chief executive officer. "For Chinese buyers who are looking to invest in the U.S. market, we now provide easy access to a comprehensive amount of listings, which will simplify the remote house hunting experience."

Financial terms of Zillow's first international partnership were not disclosed. In the United States, Zillow is the exclusive provider of for-sale and for-rent listings for Yahoo!� Homes, AOL� Real Estate, MSN� Real Estate and HGTV�'s FrontDoor�. 


Wednesday, August 20, 2014
Comments & Business Outlook

Second Quarter 2014 Financial Results

  • Total revenues increased by 29% year-on-year to $210.1 million
  • Non-GAAP net income attributable to E-House shareholders increased by 34% year-on-year, from $15.3 million, or $0.11 per diluted American depositary share ("ADS"), to $20.6 million, or $0.14 per diluted ADS

Xin Zhou, E-House's co-chairman and CEO, said, "We are pleased that E-House continued its overall strong growth in the second quarter despite continued softness in China's real estate market. In particular, our online services unit Leju continued its strong growth momentum. The real estate market in China experienced a substantial slowdown this year, which has prompted the adoption of relaxed policies by local governments of many cities, resulting in a moderate recovery in transaction volume. At the same time, many developers have shown flexibility in pricing and have increased their marketing efforts. We are hopeful that these initiatives by the government and developers will gradually improve market sentiment in the second half of this year."

Mr. Zhou added, "In July, E-House officially launched multiple new products and services, including our real estate financial services platform, Fang Jin Suo, our online-to-offline (O2O) mobile community services app, Shi Hui, and our home price ratings website and related mobile app, Fangjiadp. In addition, Leju completed its mobile e-commerce platform 2.0 upgrade, and expanded its strategic alliances with secondary brokerage firms. As a result, we have now successfully set up five independent yet synergistic platforms, namely, online services, brokerage services, information and consulting services, financial services, and community value-added services. We will continue to focus on enhancing the content and features of the new products we've launched and on expanding our service coverage and user base in the second half of the year. We will also establish clear revenue models for those new services and believe they will create new value for our shareholders."

Bin Laurence, E-House's CFO, added, "As a result of our strong execution and our development of innovative products that are sought after by the market, we delivered continued revenue growth in the second quarter. In addition, we achieved strong year-on-year profit growth along with revenue increases."

Business Outlook

The Company maintains its previous fiscal year 2014 revenue guidance of $910 million to $930 million, representing an increase of approximately 24% to 27% from $731.1 million in 2013. This forecast reflects the Company's current and preliminary view, which is subject to change.


Thursday, July 17, 2014
Comments & Business Outlook

SHANGHAI, July 17, 2014 /PRNewswire-FirstCall/ -- E-House (China) Holdings Limited ("E-House" or the "Company") (NYSE: EJ), a leading real estate services company in China, today announced the launch of its home price ratings website www.fangjiadp.com and related mobile app ("Fangjiadp"), both of which operate under the Company's real estate information and consulting business unit, CRIC. The website and app currently cover more than 4,000 new residential developments in 21 cities, as well as more than 30,000 existing residential compounds in 5 cities in China.

Fangjiadp provides independent home price estimates, qualitative reviews, and ratings for primary and secondary market residential compounds. By entering an address (down to each individual apartment unit level) or compound name, consumers can instantly obtain the estimated market value of both new and previously-owned properties, as well as CRIC's expert opinions on other aspects of the properties. Properties are rated as "strongly recommended buy," "recommended buy," "buy with caution" or "recommend waiting." Once a consumer locates a property of interest, Fangjiadp will also list four similar properties in the area that are in the same price range so that consumers can compare estimated values and other aspects of the properties.

Xin Zhou, E-House's co-chairman and CEO, said, "Fangjiadp is developed by highly experienced analysts with many years of industry knowledge and is backed by CRIC's comprehensive and powerful real estate database. In addition to its wide and comprehensive coverage, Fangjiadp's unique user interface allows consumers to conduct one-on-one conversations with CRIC's home price analysts. We believe Fangjiadp brings a new experience and unique value to home buyers and sellers that has never before existed.  As part of our planned upgrade for Fangjiadp, consumers will be able to not only communicate with our home price analysts, but also write their own listing reviews while interacting with other consumers and industry experts to obtain relevant information and recommendations. For our CRIC unit, the launch of Fangjiadp represents the expansion of its customer base from what had historically been businesses and government entities to consumers, and illustrates its position as an independent and unbiased real estate information source."


Tuesday, July 15, 2014
Comments & Business Outlook

SHANGHAI, July 15, 2014 /PRNewswire-FirstCall/ -- E-House (China) Holdings Limited ("E-House" or the "Company") (NYSE: EJ), a leading real estate services company in China, today announced the launch ofChina's first real estate financial services platform, "Fang Jin Suo," and its associated website,www.fangjs.com, along with the platform's first two real estate financial products, "E-House e-Loan" and "Leju e-Loan," which are being offered by E-House's real estate brokerage services business unit and its real estate online services subsidiary Leju Holdings Limited (NYSE: LEJU), respectively.

Fang Jin Suo, which translates to "Source of Real Estate Funds" and was co-founded by E-House and SINA Corporation (NASDAQ: SINA) ("SINA"), is a platform that links qualified home buyers with borrowing needs to potential investors. E-House e-Loan and Leju e-Loan are the first two financial products offered to home buyers and individual investors via the platform, and are backed by SINA, E-House, Zhong An Insurance,China's first online insurance firm, and Beijing Sina Payment Technology Co., Ltd. ("SINA Payment"), an online and mobile payment system owned by SINA. Fang Jin Suo is designed to offer investors low-risk products with attractive returns while providing qualified home buyers with additional liquidity to facilitate real estate transactions.

E-House also announced that it has reached an exclusive strategic cooperation agreement with Zhong An Insurance, a company jointly founded by Alibaba Group Holding Ltd., Tencent Holdings Ltd. (HKG: 0700), and Ping An Insurance (Group) Company of China Ltd. (HKG: 2318 and SSE: 601318), among others. Under the agreement, Zhong An Insurance will work with E-House to exclusively provide insurance for real estate loan products through Fang Jin Suo, including principal and interest payment insurance for investors who purchase the E-House e-Loan and Leju e-Loan products.

Xin Zhou, E-House's co-chairman and CEO, said, "Combining E-House's vast home buyer base, SINA's high-end internet users, SINA Payment's secure payment system, and Zhong An's insurance services, Fang Jin Suo aims to become China's leading online real estate financial services platform. We aim to provide investors with safe and transparent fixed-income wealth management products with attractive returns, while at the same time offering qualified borrowers home-purchase related loans and credit services. E-House e-Loan and Leju e-Loan are the first products available through our new platform, which will offer a variety of real estate-related financial products over time."


Tuesday, May 20, 2014
Comments & Business Outlook

First Quarter 2014 Financial Results

  • Total revenues increased by 40% year-on-year to $163.3 million
  • Non-GAAP net income attributable to E-House shareholders increased by 184% year-on-year, from $4.2 million, or $0.03 per diluted American depositary share ("ADS"), to $11.9 million, or $0.08 per diluted ADS

Xin Zhou, E-House's co-chairman and CEO, said, "During the first quarter of 2014, China's real estate market showed softness in certain cities with weak transaction volumes. We expect that this soft market condition may continue in various cities for some time this year, which may lead more developers to offer price discounts and local governments in various cities to relax restrictive policies toward the real estate market. Despite the relatively soft market conditions, E-House's major business segments continued to grow due to our solid execution, market penetration and product innovation. The growth in our real estate e-commerce revenue was particularly impressive, and we believe our recently launched mobile e-commerce platform will help us continue that growth."

Mr. Zhou added, "A recent highlight of the Company was the successful IPO of our Leju online-to-offline real estate services division on the New York Stock Exchange. Looking forward, we will continue to adapt to the changing market conditions and strive to maintain stable growth in our brokerage business, and continue to push for deeper market penetration and strong growth in our online-to-offline e-commerce business. Meanwhile, we will continue our efforts in new product innovation and development, including our CRIC Home Price system. We anticipate that our new business platforms announced in March, which include real estate financial services and community value-added services, will formally launch in the second half of this year."

Bin Laurence, E-House's CFO, added, "We're pleased to see that along with the strong revenue growth in our online Leju segment, our brokerage and information and consulting businesses continued to grow in the first quarter. Additionally, E-House's non-GAAP net income more than doubled on a year-over-year basis."

Business Outlook

The Company raised its fiscal year 2014 revenue guidance to a range of $910 million to $930 million, up from the previously announced range of $880 million to $900 million, representing an increase of approximately 24% to 27% from $731.1 million in 2013. This forecast reflects the Company's current and preliminary view, which is subject to change.


Thursday, April 3, 2014
Joint Venture

SHANGHAI, April 3, 2014 /PRNewswire-FirstCall/ -- E-House (China) Holdings Limited (NYSE: EJ), a leading real estate services company in China, today announced that an affiliate of its subsidiary Leju Holdings Limited ("Leju"), a leading provider of real estate online services in China, has signed a partnership agreement with Zillow, Inc. ("Zillow") (NASDAQ: Z), a leading real estate information marketplace in the U.S., to build a co-branded website, bridging the leading U.S. real estate information platform with home buyers in China who are interested in overseas purchases. Zillow® is the leading real estate information marketplace dedicated to helping people find vital information about homes and connect with the best local professionals. Additionally, Zillow operates the most popular suite of mobile real estate apps in the United States.

Under the agreement, Leju will add a "U.S. property" search box within the primary navigation bar on its website, while Zillow will create a co-branded website connecting both sites, through which Leju users can be directed to Zillow's home information search platform in the United States. In addition, Leju will have the right to place display advertising on the co-branded website.

Mr. Geoffrey Yinyu He, Leju's CEO, said, "We're very pleased to establish a partnership with Zillow. This cooperation offers a search platform for Chinese buyers interested in real estate investment in the U.S. and provides an additional sales channel for U.S. brokers to tap into the huge pool of Chinese customers. I hope this is the beginning of a long-term and fruitful partnership with Zillow."


Friday, March 21, 2014
Comments & Business Outlook

SHANGHAI, March 21, 2014 /PRNewswire/ -- E-House (China) Holdings Limited ("E-House")(NYSE: EJ), a leading real estate services company in China, Leju Holdings Limited ("Leju"), a wholly-owned subsidiary of E-House and a leading provider of real estate online services, and Tencent Holdings Limited ("Tencent", SEHK stock code: 00700), a leading provider of comprehensive Internet services in China, announced that Tencent will acquire from E-House 15% of the equity interests on a fully diluted basis in Leju for US$180 million. The transaction is expected to close by the end of this month.

Tencent will also subscribe additional shares in Leju's proposed initial public offering to maintain its 15% equity interest on a fully diluted basis.

"I'm very excited to have Tencent as Leju's strategic partner and investor," said Mr. Xin Zhou, E-House's co-chairman and chief executive officer. "Tencent's investment in Leju demonstrates its recognition of Leju's success in O2O real estate e-commerce. We strongly believe in the opportunities in this vast and growing market. By leveraging Tencent's powerful Weixin, we will continue our push to establish a leading mobile-based, real estate e-commerce platform. We also look forward to deepening and widening our strategic cooperation with Tencent in the coming years."

Mr. Martin Lau, President of Tencent, said "We are delighted to invest in and cooperate with Leju. Our strategic partnership will bring Leju's rich real estate information to Weixin users, enable Leju to better connect with our users through Official Accounts, and expand our payment solution to Leju's user base. We look forward to collaborating with our partners in building a prosperous ecosystem for the Internet industry."

China Renaissance and Credit Suisse acted as financial advisers to E-House on this transaction.


Tuesday, March 11, 2014
Joint Venture

SHANGHAI, March 11, 2014 /PRNewswire-FirstCall/ -- E-House (China) Holdings Limited ("E-House" or the "Company") (NYSE: EJ), a leading real estate services company in China, today announced two new strategic initiatives that will expand the Company's services to real estate related financial services and community value-added services.

Mr. Xin Zhou, co-chairman and CEO of E-House, said, "Being the leader and integrator of China's real estate services has always been E-House's mission. Over the past ten years, E-House has established three strong platforms in real estate brokerage, information consulting, and online/e-commerce services, and has become a market leader in these areas. We have also accumulated valuable resources and expertise in the real estate service sector. Today, with the backdrop of financial reforms and the rapid evolution of the Internet and mobile technology, we are leveraging our various resources and existing strengths to launch two new real estate service platforms, specifically a real estate-oriented financial services platform and community value-added services platform, which are consistent with our goal of expanding our real estate services chain and in the spirit of the Company's motto of 'let all Chinese live better.'"

To establish the financial services platform, E-House plans to form a joint venture, together with SINA Corporation ("SINA") (NASDAQ: SINA), Sequoia Capital China, and Yunfeng Capital. The joint venture will leverage E-House's vast home buyer data and SINA's huge number of high-end online users to launch a series of asset (existing home) backed financial products, bridging individuals who have borrowing needs (borrowers) and those who have investment demands (investors). The real estate financial service joint venture will be an important part of SINA's overall online financial services platform. E-House and SINA will each have a 42.5% stake in the new joint venture.

E-House also announced today that it plans to form a joint venture with SINA, Focus Media Holding Limited ("Focus Media"), and Shentong Express Co., Ltd. ("Shentong Express") to provide online to offline ("O2O") community value-added services. The community-focused joint venture, of which E-House will have a 55% stake, will leverage SINA Weibo, WeMeet social network community online accounts, and mobile applications to reach consumers in local communities. Together with Focus Media's leading digital interactive media community networks and Shentong's logistical capabilities, the new joint venture aims to enable homeowners to find and connect with local service providers best suited to meet their "last mile" needs. In connection with the establishment of this community value-added service joint venture, E-House has signed a strategic cooperation agreement with Shanghai Shangfang Property Management Ltd. ("Shangfang Property Management") and nine other leading property management companies in Shanghai. The new community value-added service joint venture will target approximately 500 communities currently served by those ten property management companies, reaching nearly one million residents with online to offline services.

Mr. Zhou added, "Through our tireless efforts over many years, E-House now proudly owns three leading, high-quality real estate service platforms in China. We will continue to work hard to enhance these existing platforms. Meanwhile, we believe there are huge market opportunities in real estate financial services and community value added services and believe that through hard work, product innovation and strong execution, we will be able to capture new opportunities, provide better and more comprehensive services to our customers, and make E-House a stronger enterprise while creating new and lasting value for our shareholders."


Comments & Business Outlook

Fourth Quarter 2013 Financial Results

  • Total revenues increased 67% year-on-year to $255.4 million
  • Non-GAAP net income attributable to E-House shareholders increased 304% year-on-year to $38.3 million, or $0.26 per diluted American depositary share ("ADS") from $9.5 million, or $0.08 per diluted ADS, in the fourth quarter of last year

Xin Zhou, co-chairman and CEO of E-House, said, "2013 was a breakthrough year in which we achieved significant growth in all our major business lines, particularly our e-commerce business. Looking to 2014, we are already off to a great start. Yesterday, we announced a strategic partnership between our online subsidiary, Leju Holdings Limited ("Leju"), and Tencent Holdings Limited ("Tencent", HKG: 00700). We will leverage Tencent's powerful Weixin platform and SINA's Weibo platform, two leading mobile platforms in China, to launch our real estate mobile e-commerce 1.0 product, which will further enhance our competitive advantage in real estate e-commerce sector."

"In addition, while E-House's existing businesses have continued to grow steadily, we are pursuing new strategic initiatives to establish two new business units to offer financial services and community value-added services, respectively. With these new units, we will begin the process of broadening E-House's service scope beyond facilitating new home sales and into the areas of serving existing home owners on an ongoing basis. We are excited about the opportunities these new services will bring and believe this will form the remaining links within E-House's complete real estate services chain, making us a stronger enterprise in the long run and creating new and lasting value for our shareholders."

Bin Laurence, CFO of E-House, said, "We are proud of the progress E-House made in 2013. We achieved significant growth in revenues and delivered strong profitability in 2013. In addition, we generated strong operating cash flow of over $100 million and enhanced our liquidity so that we are well positioned for continued growth."

Business Outlook

The Company estimates that its fiscal 2014 total revenue will be approximately $880 million to $900 million, which would represent an increase of approximately 20% to 23% from $731.1 million in 2013. This forecast reflects the Company's current and preliminary view, which is subject to change.


Monday, March 10, 2014
Joint Venture

SHANGHAI, March 10, 2014 /PRNewswire-FirstCall/ -- E-House (China) Holdings Limited ("E-House" or the "Company") (NYSE: EJ), a leading real estate services company in China, today announced that its wholly-owned subsidiary, Leju Holdings Limited ("Leju"), has entered into a strategic cooperation agreement with Tencent Holdings Limited ("Tencent") (HKG: 0700), a provider of comprehensive Internet services serving the largest online community in China, including hundreds of millions of Weixin users. Leju is a leading provider of real estate online services including advertising, listings and product launch information ("Real Estate Online Information"), and online-to-offline e-commerce services ("Real Estate O2O E-Commerce") that facilitate real estate transactions in China. 

Under the strategic cooperation agreement, Leju and Tencent have agreed to jointly develop software and tools for use on Weixin to facilitate Leju in opening batches of Weixin public accounts associated with real estate projects. Leju has agreed to adopt Weixin payment solutions as the default payment method for Real Estate O2O E-Commerce transactions conducted by Leju users on Weixin. Leju and Tencent will also explore and pursue additional opportunities for potential cooperation, including but not limited to cooperation involving Tencent's social communications platform such as Weixin, "QQ" and "mobile QQ"; the social media service, "Tencent Microblog"; the social networking service, "Qzone"; and/or other Tencent internet properties. 

"I'm very excited about the strategic partnership between Tencent and Leju," said Mr. Xin Zhou, E-House's co-chairman and chief executive officer. "Leju is a leading innovator of real estate O2O e-commerce in China and has achieved strong growth in this sector. Developing and broadening Leju's mobile platform is an integral part of our growth strategy. Our cooperation withTencent will extend our consumer reach through Tencent's powerful Weixin platform and other popular services, opening a key channel to disseminate real estate information and facilitate transactions. This marks a new milestone in our O2O e-commerce and mobile strategy development."


Comments & Business Outlook

SHANGHAI, March 10, 2014 /PRNewswire-FirstCall/ -- E-House (China) Holdings Limited ("E-House") (NYSE: EJ), a leading real estate services company in China, today announced that Leju Holdings Limited ("Leju"), a wholly owned subsidiary of E-House, has submitted a draft registration statement on Form F-1 in compliance with the U.S. Securities Act of 1933, as amended (the "Securities Act") to the U.S. Securities and Exchange Commission (the "SEC") for a proposed initial public offering of Leju and listing of Leju's American depositary shares representing its ordinary shares on a major stock exchange in the U.S. (the "Proposed IPO"). The Proposed IPO is expected to commence as capital markets conditions permit and is subject to Leju's public filing of the registration statement with the SEC in compliance with the Securities Act, and the SEC declaring such registration statement effective. The proposed number of American depositary shares to be offered and sold in the Proposed IPO has not yet been determined. E-House may sell a portion of Leju's shares it owns, but expects to remain Leju's majority shareholder after the completion of the Proposed IPO.

This announcement is being made pursuant to and in accordance with Rule 135 under the Securities Act. This press release is not intended to, and does not, constitute an offer to sell or a solicitation of an offer to purchase any securities, in the United States or elsewhere, and it is not intended to, and does not, constitute an offer, solicitation or sale of any securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful. Any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or the selling security holder and that will contain detailed information about the issuer and management, as well as financial statements.


Thursday, December 12, 2013
Deal Flow

SHANGHAI, Dec. 12, 2013 /PRNewswire-FirstCall/ -- E-House (China) Holdings Limited (NYSE: EJ) ("E-House" or the "Company"), a leading real estate services company in China, today announced the pricing of US$135 million in aggregate principal amount of 2.75% Convertible Senior Notes due 2018 (the "notes"). The notes were offered to qualified institutional buyers in reliance on Rule 144A under the United States Securities Act of 1933, as amended (the "Securities Act"), and certain non-U.S. persons in compliance with Regulation S under the Securities Act.

The notes will be convertible into the Company's American Depositary Shares ("ADSs"), each representing one ordinary share of E-House, par value US$0.001 per share (the "ordinary shares"), at the option of the holders, based on an initial conversion rate of 59.5380 of the Company's ADSs per US$1,000 principal amount of notes (which is equivalent to an initial conversion price of approximately US$16.80 per ADS and represents an approximately 30% conversion premium over the closing trading price of the Company's ADSs on December 11, 2013, which was US$12.92 per ADS). The conversion rate is subject to adjustment upon the occurrence of certain events.

Holders of the notes may convert their notes in integral multiples of US$1,000 principal amount and at any time prior to the close of business on the second business day immediately preceding the maturity date. Holders of the notes will have the right to require the Company to repurchase for cash all or part of their notes on December 15, 2016 or upon the occurrence of certain fundamental changes at a repurchase price equal to 100% of the principal amount of the notes to be repurchased, plus accrued and unpaid interest to, but excluding, the repurchase date.

The notes will bear interest at a rate of 2.75% per year, payable semiannually in arrears on June 15 and December 15 of each year, beginning on June 15, 2014. The notes will mature on December 15, 2018, unless previously repurchased or converted in accordance with their terms prior to such date.

The Company plans to use approximately US$45 million of the net proceeds from the offering to pay the premium of the call option (defined below). The remainder of the net proceeds of the offering will be used for general corporate purposes, including working capital needs and potential investments in or acquisitions of complementary businesses.

In connection with the offering, the Company has entered into a zero-strike call option (the "call option") with an affiliate of the initial purchaser (the "option counterparty"). The call option is intended to facilitate privately negotiated transactions by which investors in the notes will hedge their investment in the notes. The Company has been advised that, in connection with establishing its initial hedge of the call option, the option counterparty (or its affiliate) expects to enter into one or more derivative transactions with respect to the ADSs with purchasers of the notes after the pricing of the notes. This activity could increase (or reduce the size of any decrease in) the market price of the ADSs or the notes at that time. In addition, the option counterparty (or its affiliate) may modify its hedge position by entering into or unwinding one or more derivative transactions with respect to the ADSs and/or purchasing or selling ADSs or other securities of the Company in secondary market transactions following the pricing of the notes and prior to the maturity of the notes (and is likely to unwind its derivative transactions and/or purchase or sell ADSs in connection with any conversion of the notes at or shortly prior to the maturity of the notes). These activities could also cause an increase or avoid a decrease in the market price of the ADSs or the notes.

The Company expects to close the notes offering on or about December 17, subject to the satisfaction of customary closing conditions.


Wednesday, December 11, 2013
Deal Flow

SHANGHAI, Dec. 10, 2013 /PRNewswire-FirstCall/ -- E-House (China) Holdings Limited  (NYSE: EJ) ("E-House" or the "Company"), a leading real estate services company in China, today announced that it proposes to offer up to US$180 million in aggregate principal amount of convertible senior notes due 2018 (the "notes"), subject to market conditions. Credit Suisse Securities (USA) LLC is acting as the initial purchaser of the notes. The conversion rate and other terms of the notes have not been finalized and will be determined at the time of pricing of the offering. The Company intends to grant to the initial purchaser a 30-day option to purchase up to an additional US$20 million principal amount of notes.  The notes will be convertible into the Company's American Depositary Shares ("ADSs"), each representing one ordinary share of E-House, par value US$0.001 per share (the "ordinary shares"), at the option of the holders, in integral multiples of US$1,000 principal amount and at any time prior to the close of business on the second business day immediately preceding the maturity date. Holders of the notes will have the right to require the Company to repurchase for cash all or part of their notes on December 15, 2016 or upon the occurrence of certain fundamental change.

The Company plans to use approximately US$20 million of the net proceeds from the offering for the repurchase of the Company's ordinary shares and ADSs and approximately US$50 million of the net proceeds from the offering to pay the premium of the call option (defined below). The remainder of the net proceeds of the offering will be used for general corporate purposes, including working capital needs and potential investments in or acquisitions of complementary businesses.

In connection with the offering, the Company intends to enter into a zero-strike call option (the "call option") with an affiliate of the initial purchaser (the "option counterparty"). The call option is intended to facilitate privately negotiated transactions by which investors in the notes will hedge their investment in the notes.

The Company has been advised that, in connection with establishing its initial hedge of the call option, the option counterparty (or its affiliate) expects to enter into one or more derivative transactions with respect to the ADSs with purchasers of the notes concurrently with or after the pricing of the notes. This activity could increase (or reduce the size of any decrease in) the market price of the ADSs or the notes at that time. In addition, the option counterparty (or its affiliate) may modify its hedge position by entering into or unwinding one or more derivative transactions with respect to the ADSs and/or purchasing or selling ADSs or other securities of the Company in secondary market transactions following the pricing of the notes and prior to the maturity of the notes (and is likely to unwind its derivative transactions and/or purchase or sell ADSs in connection with any conversion of the notes at or shortly prior to the maturity of the notes). These activities could also cause an increase or avoid a decrease in the market price of the ADSs or the notes.


Wednesday, November 13, 2013
Comments & Business Outlook

Third Quarter 2013 Financial Results

  • Total revenues increased 43% year-on-year to $195.7 million.
  • Non-GAAP1 net income attributable to E-House shareholders was $27.6 million, or $0.20 per diluted American depositary share ("ADS") compared to non-GAAP net loss attributable to E-House shareholders of $7.8 million, or$0.07 loss per diluted ADS, in the third quarter of last year.

Xin Zhou, co-chairman and CEO of E-House said, "The highlight from the third quarter was the tremendous growth we achieved in our real estate e-commerce business. We initiated the concept of real estate e-commerce in 2011 by making several real estate properties available online for auction in an effort to combine traditional real estate marketing tools with the Internet, and started marketing this e-commerce version 1.0 to our developer clients. We followed up by introducing real estate e-commerce 2.0 in the first half of last year through our "e-coupon" revenue model, which is now widely accepted within the industry. We then launched our e-commerce 3.0 open transaction platform in June of this year, which was quickly met with very positive client feedback. Our focus and efforts in developing our real estate e-commerce business have started to bear fruit."

Mr. Zhou continued, "Product and technological innovation has always been an integral part of our company's development. Just yesterday, we held the signing ceremony of our strategic cooperation with CITIC Bank Corporation Limited ("CITIC Bank"), through which CITIC Bank will dedicate a RMB50 billion aggregate credit line to homebuyers who use E-House's e-commerce service. This e-commerce 4.0 platform, which integrates real estate e-commerce with financial services featuring the "Leju Loan" through CITIC Bank, will help to improve the overall purchasing power of homebuyers, increase sales conversion rates and achieve better sales for developers. We believe "Leju Loan" will become another core product after "e-coupon", and together will enhance our e-commerce competitive strengths."

Mr. Zhou added, "We recently saw positive trends in China's economy and the real estate sector. We do realize, however, that there are always uncertainties related to the overall real estate market. As always, we will do our best to adapt to the changing environment and strive to create greater value for our shareholders."

Bin Laurence, CFO of E-House said, "Thanks to the excellent performance of all of our major business lines, especially the significant growth of our e-commerce business, we were able to deliver strong improvement in our profit margin. We believe there is room for further margin improvement as we maintain our effective cost control and further grow our revenues."

Business Outlook

The Company again raised its fiscal 2013 total revenue guidance to approximately $700 million from the guided amount of approximately $630 million announced last quarter, which would represent an increase of approximately 51% from$462.4 million in 2012. This forecast reflects the Company's current and preliminary view, which is subject to change.


Friday, August 16, 2013
Comments & Business Outlook

Second Quarter 2013 Financial Results

  • Total revenues increased by 43% year-on-year to $163.4 million. Revenues from primary real estate agency services increased by 38% year-on-year to $62.6 million. Revenues from real estate online services increased by 79% year-on-year to $71.9 million.
  • Total gross floor area ("GFA") of new properties sold was 5.2 million square meters, an increase of 33% from the same quarter of 2012. Total value of new properties sold increased by 44% year-on-year to RMB46.0 billion ($7.4 billion)[1].
  • Non-GAAP[2] income from operations was $16.8 million, compared to non-GAAP loss from operations of $2.9 million in the second quarter of last year.
  • Non-GAAP net income attributable to E-House shareholders increased by 127% year-on-year to $15.3 million, or $0.11 per diluted American depositary share ("ADS"), from $6.8 million, or $0.06 per diluted ADS in the second quarter of last year.

Xin Zhou, co-chairman and CEO of E-House said, "I'm very pleased with our second quarter and first half 2013 performance. In addition to delivering solid results, we achieved several new milestones during the first half of the year, including upgrading our e-commerce platform, launching a new mobile real estate application, developing the CRIC Home Price series of products and establishing a cloud-based customer-origination call center. Particularly worth mentioning is that our e-commerce platform has finally matured after two years of investment and improvement efforts. The upgraded 3.0 version of our e-commerce platform which we began marketing to clients on June 18, is now a truly open real estate transaction-facilitating platform that developers can use with or without our other online services, and has already been widely adopted by many new and existing clients. As of August 15, we have signed 986 e-commerce service contracts with our developer clients."

Mr. Zhou continued, "The Chinese government recently announced a new goal of promoting stable and healthy development of the real estate market, as well as furthering the country's urbanization process. We believe this signifies a new direction for the real estate industry in China that will bring new opportunities. The milestones we achieved in the first half of this year have set a solid foundation for us to capitalize on such opportunities, and will support the Company's next round of growth and create more value for our shareholders."

Bin Laurence, E-House's CFO, added, "We have generated much better profits this year compared to last year, thanks to a stable policy environment and solid execution by our key business units. In addition, we have completed the cost structure realignment that we started last year and are able to keep our operating expenses stable while growing our revenues. We will continue our cost control measures in aiming to further improve our profit margins."

Business Outlook

The Company again raised its fiscal 2013 total revenue guidance to approximately $630 million from the guided amount of approximately $600 million announced last quarter, which would represent an increase of approximately 36% from $462.4 million in 2012. This forecast reflects the Company's current and preliminary view, which is subject to change.


Wednesday, May 15, 2013
Comments & Business Outlook

First Quarter 2013 Financial Results

  • Total revenues were $116.6 million, an increase of 97% from $59.1 million for the same quarter of 2012, primarily driven by E-House's real estate brokerage services and real estate online services.
  • Net loss attributable to E-House shareholders was $5.4 million, or $0.05 loss per diluted ADS, compared to net loss attributable to E-House shareholders of $25.9 million, or $0.33 loss per diluted ADS, for the same quarter of 2012.
  • Non-GAAP net income attributable to E-House shareholders was $4.2 million or $0.03 per diluted ADS, compared to non-GAAP net loss attributable to E-House shareholders of $16.8 million, or $0.21 loss per diluted ADS, for the same quarter of 2012.

Xin Zhou, co-chairman and CEO of E-House said, "E-House adjusted its strategies and cost structure amid real estate market fluctuations in the past two years, resulting in a more focused and streamlined business that is better able to adapt to changing market conditions. During the first quarter of 2013, two of our main business components, our primary agency business and our online real estate advertising and e-commerce business, saw significant growth of over 170% and nearly 90%, respectively. On top of the strong gains in traditional online advertising, our real estate e-commerce business has become an important growth driver for the online segment. If last year's first quarter represented the nadir for E-House's business, we believe the first quarter of 2013 signified a clear turn-around of our business and formed a solid base for our overall growth this year."

Mr. Zhou continued, "Innovation has always been a core component of our vision. Tomorrow, we will launch our CRIC Home Price series, also referred to as our China Real Estate Price System or CRPS, another unique set of products in the industry. The CRIC Home Price series includes a primary home price index for 288 cities in China, a secondary home price index for 66 cities, and home price appraisals and recommended pricings for every newly built home in 12 key cities as well as secondary home price estimates within those 12 cities. The CRIC Home Price series has gone through industry expert scrutiny and obtained a patent in China. In addition, to target the growing number of mobile Internet users in China, we recently launched our mobile application, Pocket Leju, which allows users to search for new and secondary homes to buy or rent, with price and listing source information as well as transaction tools. The application has been downloaded by approximately 700,000 users in the first month since its launch. These new and innovative products and services will enable us to better serve our developer clients, along with consumers, and further strengthen our competitive and leadership position in the industry."

Bin Laurence, E-House's CFO, added, "Since the implementation of our cost-control and new incentive measures last year, which aligned our cost structure with the changing market environment, our operating income has improved consistently over the last few quarters. That trend continued in the first quarter of this year with roughly doubled year-on-year revenues yet relatively flat SG&A expenses. We expect to see significant improvement in profitability along with top-line growth this year."

Business Outlook

The Company increased its fiscal 2013 total revenue guidance from the previously guided amount of approximately $550 million to approximately $600 million, which would represent an increase of approximately 30% from $462.4 million in 2012. This forecast reflects the Company's current and preliminary view, which is subject to change.


Monday, March 25, 2013
Notable Share Transactions

SHANGHAI, March 25, 2013 /PRNewswire-FirstCall/ -- E-House (China) Holdings Limited ("E-House" or the "Company") (NYSE: EJ), a leading real estate services company in China, today announced that it recently completed its new share issuance to the management team as previously announced on December 10, 2012.

As a result of the transaction, the Company issued an aggregate of 17,790,125 ordinary shares of the Company to Kanrich Holdings Limited ("Kanrich"), British Virgin Islands company owned by certain key members of the Company's management, including Mr. Xin Zhou , co-chairman of the Company's board of directors and chief executive officer, for an aggregate purchase price of approximately $62.6 million. After completion of the share issuance, the E-House management team became the Company's largest shareholder as a group, with a combined stake of approximately 31%.

As previously announced, the Company intends to use up to all of the proceeds from the share issuance to Kanrich to repurchase the Company's ADSs on the open market in compliance with applicable law and in a manner consistent with market conditions and the interests of its shareholders. The shares issued to Kanrich are subject to a 12-month lock-up period. This lock-up restriction does not apply to the creation or enforcement of the share charge created by Kanrich for the benefit of a certain third-party lender, which to the knowledge of the Company, entered into a margin loan facility agreement and related share and account charge with Kanrich to provide financing for the purchase of the new shares of the Company.


Tuesday, March 12, 2013
Regular Dividend News

Declaration of Cash Dividend 

E-House also announced today that its board of directors has authorized and approved the Company's payment of a cash dividend of $0.15 per ordinary share The cash dividend will be payable on or about May 30, 2013 to shareholders of record as of the close of business on April 10($0.15 per ADS). , 2013. Dividends to be paid to the Company's ADS holders through the depositary bank will be subject to the terms of the deposit agreement, including the fees and expenses payable thereunder.


Comments & Business Outlook

Fourth Quarter 2012 Results

  • Total revenues were $152.6 million, an increase of 30% from $117.4 million for the same quarter of 2011,
  • Net loss attributable to E-House shareholders was $1.7 million, or $0.01 loss per diluted ADS, compared to net loss attributable to E-House shareholders of $27.9 million, or $0.36 loss per diluted ADS, for the same quarter of 2011.
  •  Non-GAAP net income attributable to E-House shareholders was $9.5 million, or $0.08 per diluted ADS, compared to non-GAAP net loss attributable to E-House shareholders of $18.4 million, or $0.23 loss per diluted ADS, for the same quarter of 2011.

Mr. Xin Zhou, E-House's co-chairman and CEO commented, "We delivered strong revenue growth during the fourth quarter, driven primarily by our primary agency business. For our online advertising business, our e-commerce revenues continued to increase rapidly and make key contributions to overall online revenue growth. In addition, we continued to be innovative with respect to our product and service offerings. During the fourth quarter, we launched a trial version of a Web-based property valuation tool and completed the development of our commercial real estate and construction material databases, which we believe should contribute to the growth of our real estate information revenues in the coming years."

Mr. Zhou continued, "We expect that our first quarter performance will be far better than the same period of last year, judging from transaction and advertising volumes year to date. Although the government recently issued new tightening policies in an effort to cool down the real estate market, we believe the main purposes of those policies are to suppress investment activities and keep housing prices from rising too fast. We have learned from previous cycles how best to tailor our operations to take advantage of a fluctuating real estate market and will timely adjust our operations, if necessary, after local governments issue detailed implementation rules."

Bin Laurence, E-House's CFO, added, "We achieved much better operating income in the fourth quarter with a 30% increase in revenues and relatively flat SG&A compared to the same quarter of last year. As a result, operating margin improved significantly year-on-year. In 2013, we will continue with our cost-control measures and further align employee compensation with our overall net profit. We are confident we will further improve our profitability in 2013."

Business Outlook

The Company estimates that its revenues for the fiscal year ending December 31, 2013 will be approximately $550 million, an increase of approximately 19% from $462.4 million in 2012. This forecast reflects the Company's current and preliminary view, which is subject to change.

 


Monday, December 10, 2012
Deal Flow

SHANGHAI, Dec. 10, 2012 /PRNewswire-FirstCall/ -- E-House (China) Holdings Limited ("E-House" or the "Company") (NYSE: EJ), a leading real estate services company in China, today announced that it has received board authorization and approval to issue and sell ordinary shares to certain management personnel and use the expected proceeds from the share issuance to repurchase the Company's American depositary shares ("ADSs") on the open market.

The Company has received a letter of intent from Mr. Xin Zhou, co-chairman of the Company's board of directors and chief executive officer, on behalf of management to purchase up to an aggregate of 17,790,125 ordinary shares of the Company, which represent approximately 15% of the Company's current total outstanding share capital. The board of directors and the audit committee have authorized the Company to issue and sell up to an aggregate of 17,790,125 ordinary shares of the Company to Mr. Zhou and certain other management personnel of the Company for an aggregate purchase price of up to $62,621,240 at $3.52 per share, representing a 15% premium over $3.06, the closing price of the Company's ADSs on the New York Stock Exchange on December 7, 2012. Upon completion of the proposed share issuance, the Company's management team will become the Company's largest shareholder as a group, with a combined stake of approximately 30%. The management team has also indicated their willingness to undertake not to transfer or otherwise dispose of, directly or indirectly, any of the shares acquired in the proposed share issuance until 12 months following the consummation of the share issuance. Completion of the transaction is subject to the execution of definitive agreements between the Company and management as well as satisfaction of the closing conditions contained therein.

In addition, E-House has also been authorized by the board to use up to all of the expected proceeds from the share issuance to management to repurchase the Company's ADSs on the open market in compliance with applicable law, including Rule 10b-5 under the Securities Exchange Act of 1934, as amended. The timing and extent of any purchases will depend upon market conditions, the trading price of ADSs and other factors, and subject to the restrictions relating to volume, price and timing under applicable law. E-House expects to implement the share repurchases in a manner consistent with market conditions and the interests of its shareholders. 

Mr. Zhou commented, "Our plan to significantly increase the management team's stake in E-House by investing personal funds reflects our confidence in the Company's business strategies and prospects, and our long-term commitment to the Company. Our investment in the Company's stock, combined with the board's decision to implement a share repurchase plan with the proceeds from the issuance of the new shares, reflects our belief that the Company's shares are presently undervalued. This repurchase plan further demonstrates our commitment to enhancing shareholder value."



Thursday, November 15, 2012
Comments & Business Outlook

Financial Results for the Third Quarter 

  • Total Revenues were $136.6 million, an increase of 25% from $109.3 million for the same quarter of 2011.
  • Net Loss was $20.1 million, compared to net loss of $425.6 million for the same quarter of 2011. Third quarter non-GAAP net loss was $6.1 million, compared to non-GAAP net income of $5.3 million for the same quarter of 2011.
  • Net Loss attributable to E-House shareholders was $21.6 million, or $0.18 loss per diluted ADS, compared to net loss attributable to E-House shareholders of $235.3 million, or $2.97 loss per diluted ADS, for the same quarter of 2011. Third quarter non-GAAP net loss attributable to E-House shareholders was $7.8 million, or $0.07 loss per diluted ADS, compared to non-GAAP net loss attributable to E-House shareholders of $0.5 million, or $0.01 loss per diluted ADS, for the same quarter of 2011.

Xin Zhou, E-House's co-chairman and CEO, commented: "The third quarter was relatively quiet on the real estate policy front. Our primary agency business benefited from year-on-year transaction volume growth and started its turn-around in operating profitability. Our online e-commerce business, which was used by more than 11,000 home buyers during the quarter, also showed continued growth momentum. Although growth in our consulting business was lackluster during the third quarter due to continued softness in land transaction consulting and project delays, we made progress in developing new information database products that we believe will contribute to our growth next year."

Bin Laurence, E-House's CFO, added: "We achieved healthy operating income this quarter, driven by improved profitability from our primary agency business. Although we continue to operate within a relatively slow real estate industry environment, we are glad to see that the Company is on its path to improved profitability."

Business Outlook

The Company currently estimates that its revenues for the fiscal year ending December 31, 2012 will be in the range of $440 million to $460 million, an increase of 10% to 15% from $401.6 million in 2011. This updated annual revenue guidance reflects the Company's expectation that growth in online advertising will be softer than expected in the fourth quarter amid challenging overall macroeconomic environment.


Thursday, August 16, 2012
Comments & Business Outlook
Second Quarter 2012 Financial and Operating Highlights
  • Total gross floor area ("GFA") of new properties sold increased 43% year-on-year to 3.9 million square meters. Total value of new properties sold increased 30% year-on-year to RMB32.0 billion ($5.1 billion)[1].
  • Total revenues increased by 25% year-on-year to $114.1 million.
  • Non-GAAP[2] net income attributable to E-House shareholders increased 196% year-on-year to $6.8 million, or $0.06 per diluted ADS vs. $0.03 per diluted ADS in prior year.

"China's real estate market showed signs of warming up during the second quarter, driven partly by pent-up demand resulting from the implementation of the government's restrictive real estate policies last year, and partly by a better credit environment. As a result, our primary agency services saw significant revenue increases both sequentially and year-over-year. We expect transaction volumes will continue to be relatively healthy in the second half of the year while maintaining our view that the government's overall cooling measures for the Chinese real estate market will remain in place for the near future," commented Xin Zhou, E-House's co-chairman and CEO.

"During the second quarter, our online advertising business continued its strong growth while our performance-based e-commerce business, which will play an increasingly important role within our online segment, started to take off. In addition, we made progress expanding our online secondary brokerage franchise platform with approximately 110,000 brokers and 5,000 stores joining the network," continued Mr. Zhou. "Going forward, we will continue to focus on our core businesses of integrated online advertising, e-commerce transactions and traditional agency services while taking advantage of new trends and opportunities in the industry."

Business Outlook

The Company maintains its previous revenue estimate range of $490 million to $510 million for the fiscal year ending December 31, 2012, which would represent an increase of 22% to 27% from $401.6 million in 2011. This forecast reflects the Company's current and preliminary view, which is subject to change.


Thursday, May 24, 2012
Comments & Business Outlook

First Quarter 2012 Results

  • Total gross floor area ("GFA") of new properties sold was 1.9 million square meters. Total value of new properties sold was RMB14.6 billion ($2.3 billion)[1].
  • Total revenues decreased 29% year-on-year to $59.1 million.
  • Non-GAAP[2] loss from operations was $39.8 million.
  • Non-GAAP net loss attributable to E-House shareholders was $16.8 million, or $0.21 loss per diluted American depositary share ("ADS") vs earnings per ADS of $0.09 in prior year quarter

"Although the overall sentiment of China's real estate market remains subdued, reflected by low transaction volume in the first quarter, recent market transaction data has been slightly better than our expectation at the beginning of the year. While we do not expect the government to change its restrictive real estate policies in the near future, there are reasons to believe that the real estate market has passed the low point for the year. Moreover, we expect developers will continue to be willing to cut prices in exchange for transaction volumes," commented Xin Zhou, E-House's co-chairman and CEO.

"To better meet the demand of our clients in this challenging real estate environment, we integrated our online advertising, online e-commerce transactions and offline on-site sales support services, and successfully tested our performance-based e-commerce revenue model in the first quarter," continued Mr. Zhou. "We believe results-oriented advertising, channel-focused marketing and online-to-offline integrated services are the future of China's real estate service industry. Now that we have completed our merger with CRIC, our new corporate and operational structure will help us take full advantage of those trends."

Bin Laurence, E-House's CFO, added, "With the completion of our merger with CRIC and the infrastructure of our platforms mostly in place, we are now focusing more on internal cost control. First quarter selling, general and administrative expenses showed a substantial sequential decline compared with the fourth quarter of last year, partly due to reduced merger-related professional expenses and specific marketing expenses, as well as a result of internal cost control. We will continue our cost control efforts in the next few quarters."

Business Outlook

The Company maintains its previous revenue estimate range of $490 million to $510 million for the fiscal year ending December 31, 2012, which represents an increase of 22% to 27% from $401.6 million in 2011. This forecast reflects the Company's current and preliminary view, which is subject to change.


Monday, April 23, 2012
Acquisition Activity

SHANGHAI, April 23, 2012 /PRNewswire-Asia/ -- E-House (China) Holdings Limited ("E-House" or the "Company") (NYSE: EJ), a leading real estate services company in China, today announced the completion of the merger with China Real Estate Information Corporation ("CRIC") (NASDAQ: CRIC). As a result of the merger, CRIC has become a wholly owned subsidiary of E-House.

E-House also announced the following board and management changes, all of which became effective upon completion of the merger: Full release


Thursday, March 8, 2012
Comments & Business Outlook

Fourth Quarter 2011 Financial and Operating Highlights

  • Total gross floor area ("GFA") of new properties sold was 4.2 million square meters, with no material change from the same quarter of 2010. Total value of new properties sold decreased by 16% year-on-year toRMB34.1 billion ($5.3 billion)[1].
  • Total revenues decreased by 6% year-on-year to $117.4 million.
  • Non-GAAP[2] loss from operations was $18.7 million.
  • Non-GAAP net loss attributable to E-House shareholders was $18.4 million, or $0.23 loss per diluted American depositary share ("ADS").

Mr. Zhou continued, "We believe that E-House is well positioned to withstand this challenging period for the real estate services industry. For 2012, we will continue to focus on our three major business lines: primary agency, information and consulting, and online services. With the infrastructure for our new business initiatives largely set up, we will focus more on cost control this year. We will continue to leverage the comprehensive online-to-offline ("O2O") service platform rolled out last year to further boost our online services segment. Also, as part of our strategy to push further into the secondary real estate market at the most opportune time, we will leverage our resources to launch a new online secondary brokerage franchise platform that combines online and offline information, as well as real and virtual brokerage stores. The platform will also allow cross-selling opportunities between new and secondary real estate. Despite the challenges we face in the current market, we remain confident in our business strategies as well as in the future of the industry."

Mr. Li-Lan Cheng, E-House's chief financial officer, added, "For our primary agency business, the overall sell-through rate was low in the fourth quarter, which had traditionally been a peak selling period. In addition, our real estate consulting and online business segments, which are operated by CRIC, also showed signs of slowing down as developers began to cut back on land purchases, new project developments and advertising spending. Currently, we do not expect these conditions to improve substantially in the near term, given the government's repeated statements promising continued restrictive policies for the industry. Our results in the fourth quarter were also negatively impacted by higher marketing expenses associated with our efforts to market our new integrated service platform to developers, as well as additional expenses related to our planned merger with CRIC."

Business Outlook

The Company estimates that its revenues for the fiscal year ending December 31, 2012 will be in the range of$490 million to $510 million, an increase of 22% to 27% from $401.6 million in 2011. This forecast reflects the Company's current and preliminary view, which is subject to change.


Wednesday, December 28, 2011
Acquisition Activity

SHANGHAI, December 28, 2011 /PRNewswire-Asia-FirstCall/ -- E-House (China) Holdings Limited ("E-House" or the "Company") (NYSE: EJ), a leading real estate services company in China, today announced that it has entered into an Agreement and Plan of Merger, dated December 28, 2011 (the "Merger Agreement") with China Real Estate Information Corporation ("CRIC") (NASDAQ: CRIC) and CRIC (China) Holdings Limited ("Merger Sub"). Pursuant to the Merger Agreement, E-House will acquire through a merger all the outstanding shares of CRIC that are not owned by E-House (the "Transaction") for a fixed consideration consisting of $1.75cash and 0.6 E-House shares / American depositary shares ("ADSs") for each CRIC share. E-House increased the cash portion of the consideration to $1.75 from the $1.60 initially proposed to the board of directors of CRIC and publicly announced on October 28, 2011.


Monday, November 28, 2011
Deal Flow
SHANGHAI, November 28, 2011 /PRNewswire-Asia-FirstCall/ -- E-House (China) Holdings Limited ("E-House" or the "Company") (NYSE: EJ), a leading real estate services company in China, today announced that it has signed a non-binding term sheet with IFM Investments Limited ("Century 21 China Real Estate") (NYSE: CTC) and its founders. Century 21 China Real Estate is a leading comprehensive real estate services provider and the exclusive franchisor for the CENTURY 21® brand in China.

Under the proposed transaction, Century 21 China Real Estate will issue approximately 960 million new Class A ordinary shares to E-House and the founders of Century 21 China Real Estate at $0.0267 per share ($0.40 per American depositary share ("ADS")). The total number of new shares issued will represent approximately 57.8% of Century 21 China Real Estate's post-issuance enlarged share capital on a fully diluted basis. Century 21 China Real Estate will receive an aggregate consideration of approximately $25 million. Upon closing of the proposed transaction, E-House will become Century 21 China Real Estate's largest shareholder with a 37.3% ownership stake on a fully diluted basis. Century 21 China Real Estate's founders will have an additional 20.5% equity share on a fully diluted basis, with their purchase of new shares being financed by E-House. The final shareholding split between E-House and Century 21 China Real Estate's founders is subject to minor adjustments prior to the closing of the proposed transaction.

"We are very excited about the opportunity to make a strategic investment in Century 21 China Real Estate," said Mr. Xin Zhou, E-House's executive chairman. "Century 21 China Real Estate is a leading brand and operator in China's secondary real estate brokerage sector with national coverage and a top level management team. Although China's real estate industry currently faces unprecedented challenges and the operating environment for the secondary real estate brokerage sector is particularly difficult, this cooperation will help Century 21 China Real Estate not only strengthen its financial conditions to weather the near-term challenge, but also enhance its market leading position. At the same time, E-House will gain a valuable distribution channel that will augment our comprehensive sales and marketing services for developers. More importantly, our two companies will join hands to push for a fundamental change in the way secondary real estate brokerage is done in China and create a profitable and sustainable business model. Although the proposed transaction will negatively impact E-House's earnings in the near term given Century 21 China Real Estate's losses, we believe this is an attractive investment opportunity and are confident in Century 21 China Real Estate's management team to turn around its business and improve its operating results."


Tuesday, November 22, 2011
Comments & Business Outlook

Third Quarter 2011 Results

  • Total gross floor area ("GFA") of new properties sold increased by 19% year-on-year to 3.6 million square meters. Total value of new properties sold increased by 14% year-on-year to RMB29.6 billion ($4.6 billion) (1).


 

  • Total revenues increased by 23% year-on-year to $109.3 million.


 

  • Non-GAAP(2) income from operations decreased by 69% year-on-year to $7.2 million.


 

  • Non-GAAP net loss attributable to E-House shareholders was $0.5 million, or $0.01 loss per diluted American depositary share ("ADS").

"The challenging conditions for the real estate industry in China continued in the third quarter," said Mr. Xin Zhou, E-House's executive chairman. "While we were able to achieve growth in our primary agency business in terms of total GFA and value of new homes sold, the average sell-through rates for most of our projects remained low. Since the beginning of the fourth quarter, market sentiment has weakened further, with total transaction volume for October down as much as 50% year on year in tier-one cities, where moderate price discounts have failed to generate meaningful volume increases. Furthermore, our consulting and online business, which had maintained healthy growth in the first three quarters of this year and shown resilience against short-term industry fluctuations, started to slow down in the fourth quarter as developers cut back on land purchases and early-stage project preparation and reduced advertising spending when they didn't see prospects of strong volume rebound in the near term."

Mr. Li-Lan Cheng, E-House's chief financial officer, added, "In addition to challenging market conditions, our results in the third quarter were negatively impacted by goodwill impairment loss related to our online business, which we acquired in 2009, and unrealized loss from short-term investments in marketable securities. We expect market conditions in the fourth quarter to worsen with potentially a sequential decline in total transaction volume, despite the fourth quarter traditionally being the peak season for real estate transactions. Additionally, as we discussed earlier this year, the delay in our revenue recognition as a result of tight credit supply has continued and will negatively impact our results."

Business Outlook

The Company estimates that its revenues for the fourth quarter of 2011 will be in the range of $102 million to $104 million, compared to $125.2 million in the same quarter in 2010. This forecast reflects the Company's current and preliminary view, which is subject to change.

 


Wednesday, August 17, 2011
Comments & Business Outlook

Second Quarter 2011 Results

  • Total gross floor area ("GFA") of new properties sold increased by 25% year-on-year to 2.7 million square meters. Total value of new properties sold increased by 38% year-on-year to RMB24.6 billion ($3.8 billion)(1).

  • Total revenues increased by 29% year-on-year to $91.6 million.

  • Non-GAAP(2) income from operations decreased by 53% year-on-year to $7.3 million.

  • Non-GAAP net income attributable to E-House shareholders decreased by 83% year-on-year to $2.3 million, or $0.03 per diluted American depositary share ("ADS") vs $0.17 ("ADS") in 2010

"I'm pleased that we continued to achieve growth in the scale of our primary real estate agency business despite weak market sentiment and low overall transaction volume," said Mr. Xin Zhou, E-House's executive chairman. "During the second quarter, our strong project execution led to strong buyer interest and sales volume for many of our projects. However, as the Chinese central bank continued its credit tightening, commercial banks in China have further slowed down approvals of new mortgage loans. This has resulted in ongoing delays in our ability to recognize successful sales and commission revenue for a number of projects for which a 'successful sale' is defined as when the bank releases mortgage loan proceeds. This has negatively impacted our primary agency revenue for the second quarter and may continue to negatively affect our revenue for the second half of 2011."

Mr. Zhou continued, "In light of the unfavorable market environment, we will continue to expand our reach in new markets in order to diversify our geographic and client mix. We managed to increase our secondary brokerage business revenue during tough market conditions while also reducing costs and expenses. Meanwhile, our online business segment continues to show robust revenue growth, taking advantage of developers' increased efforts to market their products. As previously announced, we have also expanded our cooperation with Baidu, which grants our subsidiary CRIC the exclusive right to sell Baidu's Brand Link advertising products."

Mr. Li-Lan Cheng, E-House's chief financial officer, added, "During the second quarter, we continued to operate in challenging market conditions. The expansion of our primary agency business has led to increases in our staff headcount and related expenses, while rising inflation and wage levels have resulted in higher salaries for our employees. We also experienced a slower sell-through rate for the majority of our projects and a year-on-year decrease in the average commission rate, which has stabilized at about 0.9% this year. These factors have resulted in relatively flat revenue growth for our primary agency business and have negatively impacted our margins. Although we expect the challenging macro environment will continue to pressure our profit margins in the near term, we firmly believe the continued expansion of our business will deliver long-term benefits to the Company and our shareholders."

Business Outlook

The Company estimates that its revenues for the third quarter of 2011 will be in the range of $108 million to $110 million, an increase of 22% to 24% from $88.6 million in the same quarter in 2010. This forecast reflects the Company's current and preliminary view, which is subject to change.


Saturday, August 6, 2011
Liquidity Requirements
Our principal sources of liquidity have been cash generated from our operating activities, capital contributions, our initial public offering in August 2007, subsequent follow-on offering in February 2008, CRIC’s initial public offering in October 2009 and borrowings from third-party lenders. Our cash and cash equivalents consist of cash on hand and liquid investments which are unrestricted as to withdrawal or use, and which have original maturities of three months or less that are placed with banks and other financial institutions. We currently anticipate that we will be able to meet our needs to fund operations for at least the next twelve months with operating cash flow and existing cash balances.

Tuesday, May 31, 2011
Comments & Business Outlook

First Quarter Results:

  • Total revenues increased by 17% year-on-year to $83.3 million.
  • Non-GAAP(2) income from operations decreased by 60% year-on-year to $10.3 million.
  • Non-GAAP net income attributable to E-House shareholders decreased by 58% year-on-year to $7.5 million, or $0.09 per diluted American depositary share vs. $0.22

"Following the government's announcement of aggressive tightening measures in January 2011, the real estate market in Chinaexperienced a sharp reduction in transaction volume during the first quarter," said Mr. Xin Zhou, E-House's executive chairman. "In light of this, I am pleased that we still achieved year-on-year increases in the total GFA and value of new properties sold. However, we expect market sentiment and transaction volume to remain subdued in the near term as the government continues to implement and enforce restrictive measures aimed at discouraging purchases of residential real estate. Moreover, as credit supply became more restricted as a result of tighter monetary policy by the Chinese central bank, commercial banks in Chinahave slowed down approvals of new mortgage loans. This has led to a delay in our ability to complete sales for a number of projects for which a 'successful sale' is defined as when the bank releases mortgage loan proceeds. This will negatively impact our primary agency revenue for the second quarter."

The Company estimates that its revenues for the second quarter of 2011 will be in the range of $84 million to $86 million, an increase of 18% to 21% from $71.2 million in the same quarter in 2010. This forecast reflects the Company's current and preliminary view, which is subject to change.


Tuesday, March 29, 2011
Notable Share Transactions

SHANGHAI, March 29, 2011 /PRNewswire-Asia/ -- E-House (China) Holdings Limited today announced that its board of directors has approved a share repurchase program.

E-House has been authorized, but not obligated, by its board of directors to repurchase up to US$50 million worth of its own American Depositary Shares ("ADSs") within one year upon receiving such authorization. The repurchases will be made from time to time on the open market at prevailing market prices pursuant to a 10b5-1 plan (which allows E-House to repurchase its ADSs pursuant to the pre-determined terms under the plan at any time, including periods in which it may be in possession of material non-public information), in negotiated transactions off the market, in block trades or otherwise. The timing and extent of any purchases will depend upon market conditions, the trading price of ADSs and other factors, and subject to the restrictions relating to volume, price and timing under applicable law. E-House expects to implement this share repurchase program in a manner consistent with market conditions and the interests of the shareholders. E-House's board of directors will review the share repurchase program periodically, and may authorize adjustment of its terms and size accordingly. E-House plans to fund repurchases made under this program from its available cash balance.


Thursday, November 11, 2010
Comments & Business Outlook

Third Quarter 2010 Financial and Operating Highlights

  • Total gross floor area ("GFA") of new properties sold decreased by 10% year-on-year to 3.0 million square meters. Total value of new properties sold decreased by 12% year-on-year to RMB25.9 billion ($3.9 billion)(1).
  • Total revenues increased by 3% year-on-year to $88.6 million, including $19.1 million contributed by China Online Housing Technology Corporation ("COHT"). Without the COHT contribution, the remaining revenues decreased by 19% year-on-year to $69.5 million.
  • Non-GAAP net income(2) decreased by 45% year-on-year to $20.8 million. Non-GAAP net income includes $4.0 million attributable to COHT, while the remaining non-GAAP net income decreased by 55% year-on-year to $16.8 million.
  • Non-GAAP net income attributable to E-House shareholders(2) decreased by 65% year-on-year to $13.2 million, or $0.16 per diluted ADS.

"I am pleased with E-House's performance during the third quarter," said Mr. Gordon Zang, E-House's acting chief executive officer. "Leveraging our strong project pipeline and increased market share, we were able to achieve substantially higher transaction volume for our primary real estate agency business in the third quarter than in the second quarter, and came close to reaching the level we achieved in the third quarter of 2009 at the peak of a very active market. A highlight of the third quarter was our successful launch of the Guangzhou Asian Games Village project, a landmark residential project jointly developed by five leading developers. This project represents our first major project in Guangdong Province and helps establish our presence in Southern China, a strategically important region. With our balanced national coverage and strong project pipeline, which has exceeded 30 million square meters available for 2011, we are well positioned to continue strong growth."

Mr. Xin Zhou, E-House's executive chairman, added, "A key factor for our success in building project pipeline is our continued effort to build strategic relationships with China's leading real estate developers. In addition to the strategic cooperation with Greentown announced in September, we have recently also formed or broadened our strategic cooperation with Guangzhou R&F, Country Garden, Agile and KWG Properties. This will go a long way in solidifying our leadership position and providing long-term support for our growth."

Mr. Zhou continued, "Following the latest round of cooling-off measures announced by the Chinese government in early October, including quotas on new purchases and further restrictions on mortgage loans, the sequential decrease in transaction volume in cities that have implemented the measures has so far been much smaller than that following the previous round of cooling-off measures in April. We believe that overall sentiment and demand remains solid and will continue to be supported by favorable medium- and long-term factors. In fact, for the fourth quarter, E-House is on track to set a new record for quarterly sales volume. Looking ahead at 2011, we will continue our strategy of building project pipeline and increasing our market share for our primary agency business. Meanwhile, we expect that our information and consulting services will continue its solid growth. For our online business, we have laid a solid foundation this year and are well positioned for rapid expansion next year."

Business Outlook

Revenues for the fourth quarter of 2010 will be in the range of $115 million to $117 million, compared to $117.1 million in the same quarter in 2009.


Saturday, August 29, 2009
Comments & Business Outlook

Mr. Zhou continued, 'Looking forward to the second half of 2009, we are confident in the Chinese government's continued commitment to stimulate economic growth and maintain stable development of the real estate industry. As in the past, E-House is very well positioned to take advantage of the favorable market conditions given our strong project pipeline, brand recognition and execution capabilities. We are confident that we can build on the solid results of the first half and continue strong revenue growth in the second half of 2009. Furthermore, we believe that our revenue increase, coupled with effective cost control, will result in even better profit growth and higher profit margin.'

3rd Quarter 2009 Guidance Ending 2009 September a

  3rd Quarter 2009 Guidance 3rd Quarter 2008 Reported Period Change
GAAP Revenue $78.0 to $80.0 million $39.3 million 98.0% to 103.0%

Source: PR Newswire (August 12, 2009)

a The above forecasts reflect the Company's current and preliminary views and are therefore subject to change. Please refer to the Company's Safe Harbor Statement (usually in press releases) for the factors that could cause actual results to differ materially from those contained in any forward-looking statement.




Saturday, June 20, 2009
Comments & Business Outlook

''Our results clearly reflect a rebound in China's real estate industry,'' said Mr. Xin Zhou, E-House's chairman and chief executive officer.   The rebound in real estate transaction volume that began in the first quarter further strengthened in April and so far in May across all major markets in China.  While I'm pleased with our strong results in the first quarter, I'm even more confident that we will be able to deliver better results in the second quarter and later this year. The rebound in transaction volume that accelerated in March will translate into higher commission revenues in the second quarter. Also, increased volume will result in more bonus commissions tied to sales performance and raise our average commission rate."

2nd Quarter Guidance

  2nd Quarter 2009 Guidance 2nd Quarter 2008 Period Change
GAAP Revenue $49.0 million to $51.0 million $43.0  14.0% to 19.0%

Source: See Release


Thursday, March 12, 2009
Comments & Business Outlook

Guidance Report:

First Quarter Fiscal 2009 Guidance Ending March

  2009 Guidance 2008 Reported Period Change
GAAP Revenue $31 to $34 million   -7% to 2%

Source: PR Newswire (March 12, 2009)


Wednesday, February 4, 2009
Comments & Business Outlook

Guidance Report:

Fourth Quarter  2008 Guidance Ending December

2008 Revenue Guidance 2007 Revenue Period Change in Revenue
$36 to $40 million $46 million -21% to -29%

Full Year 2008 Guidance Ending December

2009 Revenue Guidance 2007 Revenue Period Change in Revenue
$152 to $156 million $122 million  25% to 29%

This updated annual revenue guidance reflects the Company's expectation that challenging market conditions will persist through the remainder of 2008 due to highly volatile financial and credit markets, the effect of decreased consumer spending within the real estate industry over the near term and uncertainty related to the timing of the Company's revenue recognition in the fourth quarter.

Source: PR Newswire (November 20, 2008)