(ECNS) -- A subsidiary of state-owned enterprise Potevio, a major player in the information and communications sector, plans to sell two apartments in Beijing to avoid delisting from the Shenzhen stock exchange.
A statement issued by the subsidiary Nanjing Putian on Tuesday said that it plans to sell two apartments in Beijing's Xicheng district, both of them about 141 square meters.
The company bought the two apartments in 2004 for 2.14 million yuan ($320,000) to be used as offices and temporary housing for company employees. The properties are now said to be worth a combined 22.72 million yuan, an increase of 1,651 percent over the original cost.
Nanjing Putian has been warned that its shares might be delisted after two consecutive years of losses, media reports said. Its operational revenue again decreased, by 9.3 percent year-on-year, in the first half of 2016. Successful sale of the apartments will not only help the company turn a huge profit, but also might keep it trading on the stock market.
But some observers question the price, which would be 115,585 yuan per square meter, much higher than the appraised 80,330 yuan per square meter.
Buyers of the apartments – in what is called school-district housing in China – are eligible to send their kids to a key primary school nearby after registering.
