I just received a response from Dr. Shen in regards to my questions about the land sale.
Here is his response.
"When we say transfer, i think we just mean we will give the ownership to other parties and get compensation. Regarding the value, given the strong growth in real estate in china for the past years, we believe the land should appreciate as well."
LTUS paid 32 million in 2008 and has added 8 million in improvements. It would be amazing (and not impossible) if LTUS could recoup anywhere close to it's market cap (60 million) in this deal.
Guild, i'm in the Commercial/Industrial real estate business and i can tell you that transactions here in the USA of this size can take up to a year or longer to finalize even if its price right. Not sure about china but i'm assuming at least a year before we see the proceeds recorded on the books. Hope I'm wrong though.