Moody's withdraws China property developer Vanke 'Baa3' rating

  • Baa3 is the lowest investment grade rating there is and that's gone. All Vanke's ratings on downgrade watch.

Moody's citing growing liquidity concerns, falling property sales. Says the firm would need to offer discounts to strengthen its sales during the downturn, and thus will have a weaker profit margin.

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China Vanke was seen by the market as a financially sound developer.

It has the backing of the Chinese government. State-owned Shenzhen Metro holds a 33% stake. Good luck with that.

china vanke 2

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