Vanke unit’s RMB 400m loan guarantee extended despite mixed performance

China Vanke Co., Ltd. announced the extension of a RMB 400 million loan guarantee for its wholly-owned subsidiary, Shenzhen Bogyu Rental Services Co., Ltd. The loan, originally from China Everbright Bank Shenzhen Branch, had a balance of RMB 200 million and will see its term extended by one year, with the collateral remaining unchanged. The guarantee is provided by Shenzhen Fuchun Dongfang Real Estate Development Co., Ltd., another Vanke subsidiary, using its assets as collateral.

Shenzhen Bogyu’s financial performance shows mixed results. As of November 30, 2025, its total assets were RMB 246,871.79 million, with total liabilities of RMB 177,315.74 million and net assets of RMB 69,556.05 million. For the period of January to November 2025, the company reported operating revenue of RMB 105,041.87 million, but a total loss of RMB 11,038.28 million and a net loss of RMB 8,881.32 million. Despite a 94% average occupancy rate, some buildings incurred losses due to a lease adjustment cycle.

Following this guarantee, Vanke and its subsidiaries' total external guarantees amount to RMB 84.493 billion, representing 41.69% of the company's net assets attributable to shareholders as of the end of 2024. The company confirmed no overdue guarantee matters. This action aligns with the authorization granted by the 2024 annual general meeting, which approved new guarantees not exceeding RMB 150 billion.