Core Viewpoint - Dalian City Holdings announced a privatization proposal for its subsidiary Dalian City Real Estate, aiming to optimize governance and enhance net profit after the transaction [2][3] Group 1: Privatization Proposal - Dalian City Real Estate plans to repurchase shares from shareholders other than the company and DeMao, and will apply for delisting from the Hong Kong Stock Exchange [2] - The company holds approximately 64.18% of Dalian City Real Estate's issued ordinary shares and 59.59% of total issued shares including convertible preferred shares [2] - The proposed arrangement involves the cancellation of 4,729,765,214 shares, with shareholders entitled to receive HKD 0.62 per canceled share, totaling approximately HKD 2.93 billion [2] Group 2: Financial Performance - In 2024, Dalian City Real Estate reported total revenue of CNY 19.831 billion, a year-on-year increase of 49.4% [4] - Revenue from property development reached CNY 14.545 billion, up 88.8%, accounting for 73.34% of total revenue [4] - Dalian City Holdings reported revenue of approximately CNY 35.791 billion in 2024, a decrease of 2.70% from 2023, with a net loss of approximately CNY 2.977 billion [4] Group 3: Market Context - Dalian City Real Estate has faced market fluctuations and liquidity pressures due to cyclical industry developments [3] - The company has accumulated losses exceeding CNY 7 billion over the past three years [5] - As of July 31, Dalian City Holdings' stock closed at CNY 3.02, down 3.82%, with a total market capitalization of CNY 12.9 billion [5]