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BEKE.US
id: 1576
KE Holdings (BEKE) Investor Settlement
Late claims are being considered for compensation, subject to approval.
$4,950,000
Cash SettlementS.D. New York
Court1:21-cv-11196
Case number11/19/2020
Class period Start03/11/2022
Class period End02/12/2026
Claim deadlineKE Holdings has reached a settlement with $BEKE investors to resolve claims that it misled them about the number of stores and agents on its platform and overstated revenue and transaction volume in connection with its $2.3 billion secondary offering.
Outline
In 2020, KE Holdings promoted itself as a leading housing platform in China and launched a $2.3 billion secondary offering. In late 2021, the company disclosed that many reported stores and agents were inactive, and a short-seller report accused KE of inflating key metrics. Following these events, $BEKE fell by over 20%, and investors filed a lawsuit.
Timeline
- August 13, 2020 – KE Holdings went public on the NYSE, raising $2.3 billion.
- November 19, 2020 – KE launched a $2.3 billion secondary offering at $58 per share.
- November 8, 2021 – KE disclosed that nearly 10% of reported stores and over 15% of agents were inactive.
- December 2021 – March 2022 – After disclosures about inflated platform metrics and a short-seller report, $BEKE fell by over 20%.
- May 13, 2024 – Plaintiffs filed a third amended complaint.
- April 2025 – KE Holdings agreed to a settlement.
Background
KE Holdings operates Beike, a digital real estate marketplace that connects buyers and agents across China. After its IPO and secondary offering, the company reported strong growth, highlighting an increasing number of agents and stores and rising gross transaction value (GTV) as key drivers.
However, in November 2021, KE disclosed that part of its reported stores and agents were inactive. In December, Muddy Waters Research published a report accusing KE of inflating store and agent counts, highlighting the existence of “ghost stores” that did not exist and “clone stores” that were double-counted. The report also alleged that KE overstated its GTV by up to 126% and revenue by 77% for Q2 and Q3 2021.
Following these disclosures, $BEKE fell over 20%, and investors filed a lawsuit alleging that KE Holdings misrepresented material facts related to its secondary offering and overall business performance.
What Can Investors Expect Now?
KE Holdings has reached a settlement with $BEKE investors to resolve claims that it misled them about the number of stores and agents on its platform and overstated revenue and transaction volume in connection with its $2.3 billion secondary offering.
If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section below.
Case Type
US Securities Class Action
Case Status
Accepting Late Claims
Alleged Offence
Misleading Statements,
Omissions
Suspected Party
Directors,
Management
Security Type
Stocks
Trade Direction
Long
Payout per Share
0.53
Filing date
12/30/2021
Plaintiffs
Keith Chin; Saskatchewan Healthcare Employees’ Pension Plan
Attorneys
Robbins Geller Rudman & Dowd LLP
Defendants
Peng Yongdong; Xu Tao; Shan Yigang; Bao Fan; Li Zhaohui; Chen Xiaohong; Colleen A. De Vries
Judge
Gregory H. Woods
Administrator
Verita Global
Court hearing date
02/27/2026
Exclusion deadline
02/06/2026
Objection deadline
02/06/2026
Attorney fee
$1,775,000
Trades matching type
FIFO
Frequently Asked Questions
Who is eligible for this settlement?
Do I have to sell securities to be eligible?
How long does the payout process take?
How much will my payment be?
How to get your payout?
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