The Real Deal New York

Regulators eye China Vanke takeover attempt

World's largest developer by sales fighting Baoneng Group buyout

December 28, 2015 10:31AM


From left: China Vanke’s Yu Liang and 100 East 53rd Street in Midtown

A Chinese regulator is studying Baoneng Group’s hostile effort to take control of China Vanke, the country’s largest developer and an emerging player on the New York real estate scene.

A spokesperson for the China Securities Regulatory Commission didn’t comment on the investigation’s specifics, but said the effort was aimed at protecting the interest of market players and small investors.

Vanke — which owns stakes in New York properties such as the Bush Tower and Aby Rosen’s 100 East 53rd Street — is taking steps to avert the possible takeover by Baoneng, a privately-owned developer and financier, which is currently Vanke’s top shareholder at 22 percent, the Wall Street Journal reported.

Vanke, whose stock rose 68 percent over the last month, as the takeover bid became known, halted trading of its shares last week in an effort to stymie Baoneng. It also floated the idea of issuing new shares.

Baoneng, along with another shareholder, Anbang Insurance Group, which owns the Waldorf-Astoria Hotel, may move to block that issuance. [WSJ] – Ariel Stulberg