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Danke Apartment (Phoenix Tree)

Proptech/apartment rentalChina
πŸ’€ Dead / Bankrupt
PeakΒ $3.1 BillionToday
~-100%
from peak
  1. πŸ¦„
    Became a unicorn
    2018
  2. πŸ“ˆ
    Peak valuation
    $3.1 Billion ’20
  3. πŸ’”
    Became a Unitard
    2021
  4. πŸ’Έ
    Last valuation
    Wiped out
πŸ”₯ Raised & burned
$1B
Total raised
$453K/day
Burned Β· 6.0y alive
Funding: Crunchbase
Current status
Delisted from NYSE (April 2021) after its rent-arbitrage model collapsed; shares suspended since March 2021

How it happened

Danke Apartment (θ›‹ε£³ε…¬ε―“), formally Phoenix Tree Holdings, was a fast-growing Chinese long-term apartment-rental platform with a WeWork-like, rent-arbitrage model: it leased flats from landlords, renovated them and re-let them to tenants, often funding the gap with tenant rent-loans. It listed on the NYSE in January 2020 at a fully diluted value of about $3.1B, but the model unraveled as cash ran short β€” it stopped paying landlords, stranded tenants, and its founder came under investigation. Shares were suspended in March 2021 and the NYSE moved to delist the company that April after it failed to report financials.

Source: SCMP / Caixin / Nasdaq (WeWork-style apartment rental; Jan 2020 NYSE IPO at ~$3.1B fully diluted; stock fell ~82% from IPO; net loss 1.23B yuan in Q1 2020; delisted Apr 2021 for failing to report financials)

πŸ¦„