Why KE Holdings Is Down 10% Today
Shares of China's real estate transaction middleman KE Holdings (NYSE: BEKE) are down 10.2% as of midday Thursday following disclosure of the transfer of voting rights for a significant number of shares.
As of today, the majority shareholder of KE Holdings -- a company called Propitious Global Holdings -- has irrevocably granted proxy voting rights for its 885 million class B shares to Baihui Partners. There is a common connection, however. Baihui Partners is a partnership between Peng Yongdong and Shan Yigang, both of whom have worked with Zuo Hui, who is the founder and permanent chairman emeritus of Beike. Peng, in fact, is a co-founder of KE, while Shan has been an employee of KE Holdings' flagship website and platform Lianjia since in 2007, and an executive director since 2018. Investors appear mostly concerned that Zuo is stepping away from the business, effectively even if not technically.
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Source Fool.com