China's Vanke to raise 15 bln yuan in private placement for projects

Onewo

12/02/2023 09:41

BEIJING, Feb 12 (Reuters) - China's property giant Vanke
Co Ltd  000002.SZ  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% of its total share capital before the issuance, to up to
35 investors, the company said in a filing to the Shenzhen Stock
Exchange on Sunday.
    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.
($1 = 6.8070 Chinese yuan renminbi)
 (Reporting by Ethan Wang and Bernard Orr; Editing by Christian
Schmollinger)
 ((bernard.orr@thomsonreuteres.com))