Core Viewpoint - Dalian City Real Estate is set to privatize after being listed since 2013, with the decision approved by shareholders during a court meeting on November 17, 2023 [2][3]. Group 1: Company Overview - Dalian City Real Estate, a commercial real estate platform under COFCO Group, has established a presence in five major city clusters across China, managing 32 commercial projects and luxury hotels [3]. - The company plans to delist from the Hong Kong Stock Exchange on November 27, 2023, following a share buyback agreement valued at approximately HKD 29.32 billion [3]. Group 2: Financial Performance - Dalian City Real Estate has faced significant losses over the past three years, with reported losses of CNY 2.882 billion in 2022, CNY 1.465 billion in 2023, and an estimated CNY 2.977 billion in 2024, totaling over CNY 7 billion [4]. - The company aims to achieve profitability by the first half of 2025, with the privatization expected to enhance its equity and improve net profit margins [4]. Group 3: Industry Context - The trend of privatization among real estate companies has been increasing, with several firms, including China Hongtai Development and Huafa Property, announcing similar plans in recent years [4][6]. - Key reasons for this trend include insufficient stock liquidity, loss of financing capabilities, and the need for strategic flexibility amid a challenging market environment [5][6].