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Vanke's share offer rocks market

China Daily | Updated: 2009-08-28 08:13

China Vanke Co Ltd, the country's No 2 property developer, plans to raise up to $1.6 billion by selling new shares to fund expansion in a property revival, dealing a blow to the vulnerable stock market.

Vanke joins rivals Gemdale Corp, China Merchants Property and Poly Real Estate Group Co in a rush to raise money after a government stimulus plan and explosive lending revived China's stock and property markets.

"Developers, big or small, are all eager to raise money as the real estate market recovers, so Vanke's share sale plan is not a surprise," said Pan Wei, an analyst at Galaxy Securities Co.

Vanke's share offer rocks market

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