It is being reported by Reuters that Chinese regulators have met with financial institutions and requested large banks to step up support for Vanke. And that includes asking private debt holders to discuss a maturity extension for the developer's debt. For some context, Vanke is one of China's biggest real estate developers - ranking first in terms of revenue among the Fortune China 500 ranking last year.
However, they appear to be running into liquidity issues in recent weeks. And that has caused investors to offload shares and bonds of the company en masse. This comes as Vanke is said to be seeking debt maturity extension with some insurers.
And when domestic officials tend to get involved, you know that things are looking bad. I mean, you don't resort to calling the exterminator unless the pest situation is starting to get out of control.
