Vanke plans to extend the maturity of bonds due in April

SighingCashier · 2026-04-08T05:04:42+00:00

Falling into financial difficulties, China’s major real estate developer Vanke (02202) successfully passed the first wave of bond extension tests in January and now plans to seek extensions for subsequent bonds. Reuters quoted sources as saying that Vanke has drafted a preliminary extension plan for the onshore medium-term note "23 Vanke MTN001" due in late April, proposing a principal repayment for the first four installments, with the remaining principal to be extended for one year.The report states that this plan is the same as the extension plans for three onshore bonds Vanke issued earlier this year.The maturity date for "23 Vanke MTN001" is April 23, with a remaining balance of 2 billion RMB, and an interest rate of 3.11%. The ongoing management institution is Bank of Communications. The first bondholder meeting is scheduled for April 17, next Friday, to review matters related to the bond extension. The deadline for voting is 5 p.m. on April 20.Vanke management

SighingCashier

2026-04-08 05:04:42

Real-estate developer China Vanke (02202), struggling with financial difficulties, after passing the first round of bond extension tests in January, is now planning to continue seeking extensions for its subsequent bonds. Reuters, citing sources, reported that Vanke’s preliminary extension proposal for the onshore medium-term note “23 Vanke MTN001,” which matures in late April, is to pay 25% of the principal up front, while extending the remaining principal for one year.

The report said the proposal is also the same as Vanke’s extension plans for its three onshore bonds at the start of the year.

“23 Vanke MTN001” has a redemption date of April 23. The outstanding amount is RMB 2.0 billion (the same below), the interest rate is 3.11%, and the managing institution for duration management is Bank of Communications. The first meeting of bondholders in 2026 is scheduled for April 17 (next Friday), when it will deliberate on matters related to the extension of this tranche of bonds. The deadline for voting at the meeting is 5:00 p.m. on April 20.

Vanke’s management previously said that in 2026, Vanke still faces aggregate maturing publicly issued debts of RMB 14.68 billion, including RMB 11.27 billion concentratedly maturing from April to July, with repayment pressure especially prominent.

The company also said it will uphold an honest and pragmatic approach, maintain close communication and consultation with creditors, and, with protecting the long-term interests of all parties as the starting point, combine its actual operating conditions to actively seek solutions for long-term resolution of its debt.

After a period of twists and turns, Vanke’s onshore corporate bond “21 Vanke 02” and two tranches of medium-term notes “22 Vanke MTN004” and “22 Vanke MTN005” had their extension resolutions approved and implemented this January. Under all the schemes, 25% of the principal is paid up front, and the remaining principal is extended for one year. The source of funds for debt repayment is still the loan provided by the controlling shareholder, Shenzhen Metro Group.

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