The Zhitong Finance App learned that Vanke Enterprise (02202) fell by more than 6%. As of press release, it was down 5.87% to HK$6.42, with a turnover of HK$421 million.

According to the news, rating agency Fitch once again downgraded Vanke's rating, and the long-term foreign currency and local currency issuer default ratings were downgraded from “BB+” to “BB-”. The outlook is negative. According to Fitch, the rating downgrade reflects that Vanke's sales performance from the beginning of the year to date was weaker than expected, and the company's liquidity buffer declined. According to Fitch, the continued deterioration in sales has affected Vanke's non-bank financing channels, and the company will increasingly rely on cash on hand, asset disposal, and secured domestic bank financing to repay its large debts due in 2024 and 2025.

In addition, Vanke recently signed an agreement with financial institutions such as China Merchants Bank to obtain a 20 billion yuan syndicated loan using Vanke's shares in Vanke Logistics Development Co., Ltd. as collateral. Vanke said that this 20 billion yuan syndicated loan will help the company further enhance its liquidity. Fangzheng Securities pointed out that the company's recent financing activities have been frequent. Under active action, all parties in the market have provided support, combined with recent positive and clear policies, and the company's operations are expected to return to stability.