China Vanke 2202

[winston]

Vanke builds on policy pickup

China Vanke (2202) said yesterday its third-quarter net profit jumped 21.8 percent as sales picked up, bolstered by government policies to rev-up the key housing sector.

China's largest residential developer by sales reported a net profit for the July-to-September quarter of 2 billion yuan (HK$2.44 billion), up from 1.65 billion yuan a year earlier.

For the first three quarters of the year, net profit rose 6.1 percent to 6.9 billion yuan.

In a statement, Vanke said it had already completed half of its full-year target for project area in the first nine months and the construction completion will accelerate in the fourth quarter, which would mean it would exceed that target.


Source: REUTERS

[winston]

not vested

Value Partners Cuts Stakes in CHINA VANKE to Cash in Over $90M

Value Partners Group Limited disposed of 4.904 million shares of CHINA VANKE (02202.HK) on 3 November at an average price of $18.407 per share to cash in $90.2679 million, according to the information of HKEX.

Value Partners Group Limited's shareholding in CHINA VANKE reduced from 6.05% to 5.68%.


Source: AAStocks Financial News

[winston]

not vested

China Vanke Has A New Boss: Will China Resources Raise Its Stakes Again?

By Shuli Ren

There was a lot of confusion on Chinese property developers’ soaring stock prices last week.

Investors first thought a tax break on household mortgage payments propelled the developers’ rally, but local media reported in mid-week that market leader China Vanke‘s (000002.China) price movements were because of heavy buying from Foresea Life Insurance, one of its major shareholders keen to vie for Vanke’s largest shareholder position.

For background information, see my last week’s blog “China Vanke On Fire: Rumored Tax Break Or Corporate Intrigue? Goldman Moves Off Conviction Buy“.

So it turned out Vanke’s 33% jump in one week was due to Foresea’s aggressive buying. In a filing with the Shanghai Stock Exchange, Vanke said Foresea Life Insurance is now its largest shareholder with 20% of the company.

China Resources now has only 15.3%. Vanke also has a Hong Kong-listed stock (2202.Hong Kong), which has claims to 11.9% of the company.

The next question is: Will China Resources fight back and bid up its stake again? Back in August when Foresea vied for the number 1 shareholder position, China Resources fought back quickly and bought 37 million shares in two days.

If China Resources buys more shares this time, minority shareholders will get a boost.

Barclays doesn’t think so, because to make up for the 5% stake difference, China Resources would have to shell out 10 billion yuan this time. Analyst Alvin Wong wrote:

This time around, the cost would rise to RMB10bn for CRC to take back the position of single largest shareholder, based on China Vanke’s latest closing price of RMB18.98 per share on 4 December. Given its SOE status, we do not think CRC will fight back as they did in August.

Source: Barron's Asia

[behappyalways]

Chairman of World's Most Valuable Developer Blasts New Investor
http://www.bloomberg.com/news/articles/ ... w-investor

[winston]

not vested

Vanke billions fight takeover by Daisy Wu

China Vanke (2202) founder Wang Shi has gained 30 billion yuan (HK$35.87 billion) support from COFCO Group and a trust company to avoid a hostile takeover from Baoneng Group, a WeChat public account said.

But China National Cereals, Oils and Foodstuffs Corp chairman Ning Gaoning later denied his company would lend Vanke 20 billion yuan to fight the shareholding war.

Shares of China's largest developer have been suspended since 1pm on Friday, as it is "in the process of a material asset restructuring," the firm said in a filing to the local bourse.

This sparked speculation it is seeking to dilute the Baoneng Group's holding.

"Vanke faces a hostile takeover bid by the Baoneng-backed group," Vanke president Yu Liang said earlier.

Baoneng Group replaced China Resources as Vanke's largest shareholder, as it used leverage to increase its stake in Vanke to 22.45 percent as of December 11, from less than 5 percent previously.

If Baoneng manages to raise its Vanke stake to 30 percent, it would become the controlling shareholder, whereas there currently isn't one.

Baoneng also plans to raise billions through bond issues, or equity pledge by its Hong Kong-listed unit, China Goldjoy Group (1282), Caixin reported.

Vanke is also in talks with three state- owned enterprises to fight back jointly, maybe in form of a share issue. China Resources was considered to be one of them, mainland media reported.

Shares of Vanke rose 2 percent to HK$22.90 before trading was halted.

Source: The Standard

[winston]

not vested

Three more enter battle for Vanke

The fight to control the mainland's largest listed developer, China Vanke (2202), is heating up as Hong Kong and foreign institutions join the battle.

Value Partners Group (0806), HSBC Holdings (0005) and UBS Group bought more shares in the developer last week, according to a statement from the Hong Kong stock exchange.

As of yesterday, foreign funds now own 25 percent of China Vanke's H shares with JPMorgan taking up the largest slice at 14.58 percent.

HSBC Holdings raised its stake to 6.13 percent while UBS Group ownership is now at 5.82 percent.

Value Partners holds a 5.03 percent stake in the world's largest homebuilder.

Trading in Vanke's A and H shares has been halted since Friday owing to ongoing restructuring.

Before the suspension, Shenzhen Jushenghua, an associate of Baoneng Group, splashed HK$2.34 billion on 118 million Vanke shares at 19.73 yuan apiece on Tuesday last week, according to the notice issued by the local bourse.

Jushenghua currently owns 23.52 percent of China Vanke, which is up from 16.39 percent on December 1.

In the meantime, Anbang Insurance (Group) spent 2.84 billion yuan (HK$3.4 billion) to take up 128 million Vanke A shares for two days in a row last week. Its ownership of Vanke A shares rose from 5 percent to 7.01 percent.

If Baoneng and Anbang join forces, the combined ownership tops 30 percent, turning them into the controlling shareholder of the developer in accordance with mainland listing rules.

Amid the potential takeover battle, one of Vanke's independent non-executive directors, Hai Wen, resigned yesterday due to personal reasons. Hai, an economist in the mainland, denied that he disagreed with the company's board.

Vanke chairman Wang Shi, who has said the insurers are unwelcome, is likely to appear at an investor meeting today to announce the firm's strategy toward the takeover and restructuring progress.

Source: The Standard

[behappyalways]

[交易时间]聚焦万宝股权之争：宝能安邦持股合计近30% 万科流通筹码或只剩24%
http://jingji.cntv.cn/2015/12/23/VIDE14 ... 6728.shtml

[winston]

not vested

Vanke won't fend off takeover attempt

by Jennifer Li


China Vanke (2202) said it will not take any "poison pill" to fend off a potential takeover from Baoneng Group, but the developer does not welcome the Shenzhen conglomerate's bid for control.

During a visit to Credit Suisse in Hong Kong yesterday, Vanke chairman Wang Shi said the company will not take a "poison pill" or seek a dilution of the stake of its biggest shareholder in this case Baoneng by offering shares at a big discount to friendly parties, the 21st Century Business Herald website reported.

"Wang expects institutional investors to stand by his side," the report said, citing a source who attended the meeting. Baoneng Group, which became Vanke's largest shareholder last week after subsidiaries Shenzhen Jushenghua and Foresea Life Insurance bought a large stake does not have enough shares to overhaul the board.

Last week, Value Partners Group (0806), HSBC Holdings (0005) and UBS Group all bought more H-shares of Vanke.

"I think Baoneng will sooner or later join the board, given its large shareholding. But it does not have the power to easily reshuffle the board or our management team," Wang said at the meeting. Vanke cited his statement in a note to the media.

Wang said Vanke would like to know Baoneng's demands and it wants to avoid any conflict among Vanke, Baoneng and China Resources Group, its second largest shareholder.

Wang, who founded Vanke, also compared Baoneng to Francis Leung Pak-to, the so-called "father of red chips" who failed to take over PCCW (0008) in 2006.

The company does not welcome any Baoneng takeover. "We welcome investors' purchase of our shares, but we don't welcome Baoneng taking over and controlling us," Vanke said in a public statement yesterday.

"In the process of discussion, we have lost confidence that Baoneng will maintain our culture and operational style once it takes control ... which are the most precious elements for Vanke."

Source: The Standard

[behappyalways]

Vanke's New Investor Got Funds in Way Analysts Say Is Risky
http://english.caixin.com/2015-12-24/100892398.html

[winston]

not vested

<Resumption Ann>CHINA VANKE (02202.HK) Once Dives 14% on Surging Volume

CHINA VANKE (02202.HK) announced that it had noted the recent speculative press reports made by media in Hong Kong and the PRC regarding the company and the possible material asset restructuring.

The company clarified that it has not authorized the publication of any such press reports, and emphasized the public should only rely on the content of the announcements published by the company on its official website and any information released by its senior management with authorization.

Currently, the company's potential material assets restructuring was complicated and the terms were still in the negotiations.

Deutsche Bank downgraded CHINA VANKE's H shares from Buy to Sell to reflect its unreasonable valuation and difficult asset restructuring. The target price was $18.7.

The stock resumed its trading this morning and immediately lost its 10-day and 20-day MA.

It once hit the trough at $19.64 by diving 14% and last stood at $20.3, down 11%, on surging volume of 41.8 million shares.

Source: AAStocks Financial News