Rare! Vanke, big news!

[Guide] Vanke won 20 billion yuan! The largest single loan of real estate in recent years

E Company

In recent years, the largest single loan in the real estate industry has landed.

On May 23, the reporter learned that Vanke had signed an agreement with China Merchants Bank and other leading financial institutions to obtain a syndicated loan of 20 billion yuan. The collateral was Vanke's Wanwei Logistics Unit, which has received 10 billion yuan so far. This is the largest single real estate loan since 2020.

Vanke responded that the 20 billion yuan syndicated loan will help the company further improve its liquidity, which reflects the strong support of China Merchants Bank and other financial institutions for the company. The company has always maintained a good cooperation and trust relationship with financial institutions, and all kinds of financing cooperation are actively promoted. In the next step, the company will continue to take firm action and have confidence and ability to actively, comprehensively and systematically complete the transformation of financing mode while properly handling the matured debts.

The insiders pointed out that the syndicated financing method has high requirements on the borrower's qualification due to its large amount and the need for common recognition by multiple banks. In addition, the current real estate policy has been significantly favorable, and Vanke has made significant progress in financing, which also has a significant boost to industry confidence.

It is worth noting that this syndicated loan may play an exemplary role in accelerating the landing of other financing of Vanke. Last week, it was reported that Vanke had reached a preliminary agreement on the collateral of the syndicated loan led by a large state-owned bank. It was estimated that the loan withdrawal amount would not exceed 50 billion yuan. Vanke did not comment on this matter at that time. Syndicates landed today are mainly joint-stock banks, and there may still be syndicated loans landing in succession.

Vanke has recently announced the landing of financing actions intensively: on May 13, Vanke A announced that it applied for loans totaling 7.339 billion yuan from Bank of China, Agricultural Bank of China and Bank of Beijing; On May 20, Vanke again received a loan of 1.2 billion yuan from the Bank of China; On May 16, Vanke also successfully issued a RMB 1.435 billion CMBS (commercial real estate mortgage backed securities) in Shenzhen Stock Exchange to further reduce the overall financing cost.

At the previous shareholders' meeting held on April 30, Yu Liang, Chairman of Vanke's Board of Directors, said that Vanke had formulated a "package plan" to achieve "three goals", namely, "debt reduction", "financing mode transformation" and "focus on main business":

The "debt reduction" will reduce the interest paying debt by more than 100 billion yuan in the next two years, and the total scale of interest paying debt will be reduced by more than half in the next five years;

"Financing mode transformation", from the mode of unified borrowing and repayment and subject credit oriented to the financing mode of project and asset credit oriented;

"Focus on the main business", free up limited resources, and do a good job in strengthening the three main businesses of comprehensive residential development, property services, and rental apartments.

In the secondary market, Vanke's recent stock and bond market trend is bright. Vanke A has risen for several consecutive days recently, and its market value has returned to 100 billion yuan so far; Vanke's domestic bond prices have also generally risen recently, among which a dollar bond due in 2027 once recorded the largest increase since November last year.