Chinese property developer Shimao Group saw its shares surge nearly 30% in Hong Kong after being added to the Southbound Trading of the Mainland-HK Stock Connect. In contrast, China Vanke, the country's second-biggest property developer by sales, faced a sell-off, extending losses on Monday due to renewed concerns about the builder's debt. Vanke's onshore and dollar bonds experienced significant declines, with '21Vanke04', a 3.7% 2026-due onshore bond, tumbling by 20.5% and triggering a trading halt, and a 3.5% 2029-due dollar bond dropping by 5.3 cents to 39.6 cents, marking the most significant decline in a year. The sell-off was attributed to sluggish sales in January and February, alongside market concerns over Vanke's debt levels. Alarm over Vanke's debt risks has been raised by some of China's largest insurers, with shares and bonds of the major developer hitting record lows on repayment concerns. Beijing-based insurers have advised external portfolio managers to closely monitor Vanke's credit risks, with one instructing its pension manager to curb exposure. Vanke has begun new negotiations with state insurers to extend the maturities of some private borrowings. Despite the ongoing concerns, Vanke has assured that funds are ready for a dollar bond repayment due March 11, seeking to soothe investors worried about the developer's ability to meet its debt obligations. Vanke's A shares are now down nearly 2%, and HK shares also experienced declines.
China Vanke says it has prepared funds to repay a dollar bond due next week, seeking to soothe investors concerned that the developer may need more breathing room to meet its debt obligations https://t.co/FNUEdFuOGs
China Vanke says it has prepared funds to repay a dollar bond due next week, seeking to soothe investors concerned that the developer may need more breathing room to meet its debt obligations https://t.co/lUZ3lPrHS8
China Vanke assures repayment for dollar bond amid liquidity worries https://t.co/uOYZGQK1I0 https://t.co/EhH5ACaDJi
Vanke says funds are ready for the dollar bond repayment due March 11. #China #Vanke https://t.co/Ler1Nf7bop
"2 Beijing-based insurers that farm out annuity investments told external PMs to closely monitor Vanke’s credit risks..1 told its pension mngr to curb exposure..Vanke's begun new negotiations w/ state insurers to extend maturities of some priv borrowings" https://t.co/Qpn3dd0nLG
On Tuesday, several Vanke bonds continued to fall, with '20 Vanke 04' down more than 8%, '21 Vanke 02' and '21 Vanke 05' each down over 4%, '22 Vanke 05' down more than 2%, '20 Vanke 08' down 3%, and '21 Vanke 04' over 1%. #Vanke's A shares are now down nearly 2%, and HK shares…
Chinese insurers sound the alarm over Vanke debt risks https://t.co/NbxPAIFmls via @scmpnews
Some of China’s largest insurers are sounding an alarm over the debt risks of China Vanke, sources say, as shares and bonds of the major developer hit record lows on repayment concerns https://t.co/f6FYiCAyEA
Chinese #property developers' shares tumbled on Mon on sluggish sales in Jan - Feb, market concerns on China Vanke's debt The Wire >> https://t.co/haGgRmRP6L https://t.co/EDOPf9nYdz https://t.co/gVZxGUAUPi
'21Vanke04', a 3.7% 2026-due onshore bond of China #Vanke, tumbled by 20.5% and triggered a trading halt in the afternoon session. A Vanke 3.5% 2029-due dollar bond drops by 5.3 cents to 39.6 cents, the most decline in a year. https://t.co/wI1DroWnh6
Shares and bonds of China Vanke, the country’s second-biggest property developer by sales, extend a sell off Monday on renewed concerns about the builder’s debt https://t.co/sxwvIOtWGK
Chinese property developer #Shimao Group surged nearly 30% in HK after being added to Southbound Trading of Mainland -HK Stock Connect. The Wire >> https://t.co/haGgRmRP6L https://t.co/asZXQqe1p5