E-House China Holdings rose the most in a month after the Shanghai-based provider of real estate services and Sina Corp. agreed to combine their real estate information businesses and seek a US listing for the company.
E-House’s American depositary receipts climbed 7.8% to $19.33 in New York Stock Exchange composite trading. Sina, the operator of China’s largest Internet portal, gained 2% to $34.
'E-House’s real-estate information business is the company’s hidden jewel as it’s a growing business with very high margins,' said Jeff Papp, senior analyst at Lisle, Illinois- based Oberweis Asset Management Inc., which manages $700m including shares of E-House. 'They may be trying to replicate the Changyou model which would be to keep a controlling stake while extracting value.'