More Chinese companies are listing their stocks in the US markets in order to attract US investors. One of the new Chinese companies that was listed in the NASDAQ last month was China Real Estate Information and this week 7 Days Group Holdings started trading in the NYSE. In this post, lets take a quick look at these new ADRs.
1.China Real Estate Information (CRIC)
CRIC is a real estate information and consulting services provider in China. On October 21st, CRIC offered 18 million American depositary shares (“ADSs“), each representing one ordinary share of the company, priced at $12.00 per share.
“Initially created as an internal resource to support E-House’s real estate services, the CRIC system is an advanced and comprehensive real estate information database and analysis system that we have been operating in-house since 2001. As of June 30, 2009, we provided real estate data through CRIC system that covered 56 cities and over 38,200 developments or buildings and over 24,200 parcels of land for development throughout China.”
Third Quarter Earnings Highlights:
Total revenues were $23.1 million for the third quarter of 2009, an increase of 35% from
$17.1 million for the same quarter last year.
Net income was $12.2 million, or $0.16 per diluted ADS, for the third quarter of 2009, an increase of 27% for the same quarter in 2008.
For more details, visit CRIC’s Investor Relations site.
2. 7 Days Group Holdings Ltd (SVN)
7 Days Group is a leading economy hotel chain based in China. On November 20th, the company offered 10.1 American depositary shares (“ADSs“), each representing three ordinary share of the company, priced at $11.00 per share.
From their Corporate site:
“We are the third largest economy hotel chain in China based on the total number of hotels as of December 31, 2008, and we were the fastest growing among the top ten economy hotel chains in China in 2006, 2007 and 2008 based on the number of new hotels opened, according to the China Hotel Association. As of September 30, 2009, we had 283 hotels in operation, 48 of which were managed hotels, with 28,266 hotel rooms in 41 cities, and an additional 77 hotels with 7,476 hotel rooms under conversion. Upon completion of these hotels, we will cover 59 cities in China.”
On listing the shares jumped as much as 28.6% in early trading.
From Reuters:
“7 Days reported revenue of $121.7 million for the first nine months of 2009, and an operating profit of $6.9 million. A $9.3 million interest expense during the period caused it to post a net loss of $1.4 million.
The company has posted net losses in each of the last four years.”
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