Source: Bloomberg
For Vanke with a state -owned background, the market is increasingly worried about the ability to avoid breach of contract, ignoring the government's support provided by the tight housing enterprises in funds.
Vanke stocks and bonds have fallen sharply this week and caused the entire industry to be sold, because S & P globalized the world's third -scale rating of this real estate company to the large -scale rating of this real estate company to garbage level.
When the real estate industry is plagued by the decline in sales, the decline in housing prices, and the soaring debt costs, these declines reflect the difficulties faced by the official when reconstruction investors' confidence in this industry.Vanke has long been regarded as the most reputable real estate giant in China, and one of the few companies that have not failed.
Yu Yingdong, general manager of Shenzhen Tongchuang Asset Management Co., Ltd., said that Vanke is a benchmark for domestic real estate. As a benchmark enterprise, if there is a problem, it will bring the market to further deteriorate the industry.
Vanke's stock price fell 13%in Shenzhen City this week, setting the largest decline since 2021, closing at the decade low.The US dollar bond that expired in 2027 fell below the US dollar face value of 40 cents per 1 US dollar, and it was the lowest to the record. The other RMB bond due in 2029 also fell to a new low.
Vanke was founded by Wang Shi in 1984. It was once synonymous with the growth of China's real estate market. The company launched high -quality projects to target customers with rapid expansion of the middle class.As one of the first batch of companies on the China Stock Exchange in 1991, Vanke has been the largest housing company in China for many years, and was later surpassed by more radical competitors Country Garden and China Evergrande.
However, in the crisis of many Chinese private housing companies such as Evergrande, Vanke was also unable to put it out of the crisis, and this was becoming clearer.
"Most of the recent things around Vanke are empty," said Huang Weihao, Executive Director of the Research Department of Zhongwei Securities, said that investors are now worried about whether even other real estate developers will have problems.
Vanke's largest shareholder Shenzhen local state -owned enterprise Shenzhen Metro Group has said to support Vanke.Bloomberg News reported last month that several major creditor banks weighed the transition of Vanke bonds into non -standardized claims, and the coordination of Chinese financial regulatory agencies and Shenzhen local governments participated in related plans.
S & P said on Wednesday that Vanke has enough liquidity to deal with the expiration of debts this year.However, the agency said that the weakening of real estate sales and profit margins will weaken its competitiveness. If the company fails to complete the planned asset sales, the company's financial situation may also weaken.
S & P data shows that the company will face 36.2 billion yuan ($ 5 billion) in 2025 and domestic and foreign bonds expire.The rating agency estimates that as of the end of 2023, the company's available cash was 36.3 billion yuan.
Just as Vanke was in trouble, China's real estate industry has attracted much attention again.A measuring index of Chinese housing companies fell 6.2%this week, the lowest since 2009.After a state -owned bank creditor proposed a clearing in Hong Kong, Shimao Shimao fell 30%.
