Chinese Developer Vanke Cut to Junk Territory by Moody’s

(Bloomberg) — Moody’s Ratings stripped state-backed developer China Vanke Co. Ltd. of its investment-grade credit rating and warned of further cuts, predicting credit metrics and liquidity will weaken because of falling home sales and funding uncertainties.

The credit rating firm withdrew Vanke’s Baa3 issuer rating and assigned it a Ba1 corporate family rating, it said in a statement Monday night. All of Vanke’s ratings are on review to be downgraded.