Taikang Life Insurance will clear its warehouse and leave the market.

  On February 9, Sunshine City (000671.SZ) announced that due to asset allocation needs and related investment decisions, the company's shareholder Taikang Life Insurance Co., Ltd. (hereinafter referred to as "Taikang Life") plans to conduct centralized bidding transactions and block transactions. Reduced 165 million shares of Sunshine City.

  This is Taikang Life's entire holding in Sunshine City, accounting for 3.99% of the company's total share capital.

Taikang Life and Taikang Pension are controlled by Taikang Insurance Group Co., Ltd. (hereinafter referred to as "Taikang Insurance"), which was the second largest shareholder of Sunshine City, with a maximum shareholding ratio of 13.53%.

  On December 27, 2021, one year after becoming a shareholder in Sunshine City, Taikang Life Insurance and Taikang Pension transferred 7.41% of their shares, and the assignee was Cangzhou Taihe Building Materials Co., Ltd.

  On the same day that the shares changed hands, Taikang Pension reduced its holdings of 82.8 million unrestricted tradable shares of the company through a block transaction, accounting for 2.00% of the company's total share capital.

So far, Taikang Life Insurance and Taikang Pension have reduced their shareholdings to 3.99%.

  Among the sources of the reduction of shares, 165,174,779 shares were acquired by Taikang Life Insurance through agreement transfer, and 26,500 shares were obtained by Taikang Life Insurance through centralized bidding in the secondary market.

  In terms of reduction methods, if Taikang Life Insurance reduces its holdings through centralized bidding, the reduction period shall be within 6 months after 15 trading days from the date of announcement; The period is within 6 months after 3 trading days from the date of announcement disclosure.

  In January, Sunshine City released the 2021 annual performance forecast. It is expected that the net profit attributable to shareholders of the listed company will be a loss of 4.5 billion to 5.8 billion yuan in 2021.

The announcement stated that the main reason for the change in Sunshine City’s performance was the provision of corresponding inventory depreciation reserves and the decrease in the settlement scale of real estate business based on the principle of prudence.

  Sunshine City explained in the announcement that in 2021, the real estate industry will be upgraded with policy regulation, the market demand will decline rapidly, and the industry's overall sales will decline severely. The company will take price reduction measures to further promote sales collection.

  In addition, credit risk incidents occurred frequently in the industry, domestic and foreign rating agencies successively downgraded the company's rating, the company's refinancing was blocked, the liquidity of collections was greatly restricted, the liquidity was under obvious pressure, the customer confidence was severely depressed, and the customer flow dropped significantly. Sales constitute a significant impact, and future sales are not optimistic.

  Furthermore, in the future, the industry will still adhere to the basic ideology of "housing, not speculating", and is committed to establishing a long-term mechanism to promote the healthy development of real estate, and exploring new development models. Volume and price expectations are cautious.

  Sunshine City stated that due to the influence of the market and its own liquidity, the number of completed projects of the company in 2021 decreased, resulting in a decrease in operating profit and a decrease in the settlement scale of the real estate business.

  As of press time, Sunshine City was 2.79 yuan per share, down 1.76%.