Another Chinese property titan and deck chair on the Titanic is slipping below the rising waves:
China Vanke Co. is in talks with banks on a debt swap that would help the cash-strapped developer stave off its first-ever bond default, according to people familiar with the matter.
Vanke’s major creditor banks are considering a plan to swap bond holdings worth tens of billions of yuan in principal into secured debt, the people said, asking not to be identified discussing a private matter. The swap would help China’s second-largest real estate company avoid a public default while giving banks collateral to protect against any potential losses.
