Troubled LeEco, which operates one of China’s largest online video sites, is looking to sell off some of its real estate assets to deal with an internal cash shortfall.
The company, which makes home electronics, electric cars, and operates one of China’s most popular video sites, LeShi. LeEco is seeking to sell a prime piece of real estate in Beijing’s Sanlitun entertainment district, the Shimao Gongsan, that it bought in 2016 for US$420 million, according to Reuters.
Earlier this week, trading in the company’s shares was halted, and LeEco reported a $49.4 million loss for 2016. The company’s failing car operations are generally blamed for its decline and cashflow problems.
The company raised RMB 16.8 billion earlier this year from Sunac China Holdings Ltd., including a RMB 6.04 billion for a 171 million share transfer to Sunac in LeEco’s LeShi streaming platform.