China’s Vanke to raise 15 bln yuan for projects
BEIJING
China’s property giant Vanke Co Ltd. plans to raise up to 15 billion yuan ($2.2 billion) in a private placement of A-shares that it said will fund 11 property projects and boost capital reserves.
Vanke plans to sell up to 1.1 billion A-shares, representing 9.46 percent of its total share capital before the issuance, to up to 35 investors, the company said in a filing to the Shenzhen Stock Exchange yesterday.
The share issue will provide new financial support to help the smooth implementation and timely delivery of its property projects, it said.
Debt-ladened property developers have added pressure to a struggling sector and state banks have stepped in to provide fundraising support to aid a severe housing slump.
Vanke, which is China’s second-largest property developer by sales and is listed both in Shenzhen and Hong Kong, saw its property services arm Onewo launch Hong Kong’s largest initial public offering of 2022.
