China Vanke Shares, Bonds Hit New Lows on Debt Worries

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Vanke is one of the few large property developers in China that hasn’t defaulted and is seen as a bellwether for the government’s support of the sector

(Bloomberg) — Shares and bonds of China Vanke Co. Ltd., the country’s second-biggest property developer by sales, hit record lows Monday on renewed concerns that the company may need more breathing space to repay creditors.

Vanke shares closed down 7.1% in Hong Kong at their lowest level ever, and fell 4.7% in Shenzhen, the biggest drop since December 2022. Some of Vanke’s yuan bonds also hit their lowest levels, according to Bloomberg-compiled prices, while its 3.975% dollar bond due in 2027 fell by more than 6 cents on the dollar to 47.3 cents.