Deals
Vanke Sees $10 Billion Erased as Takeover Battle Loses Sway
- Regulator cracks down on insurers’ leveraged acquisitions
- Stock has fallen most on MSCI China Index this month
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Shares of China Vanke Co. are tumbling as a crackdown on leveraged buyouts complicates a takeover battle for the nation’s largest listed property developer.
The Shenzhen-based company has plunged 23 percent in Hong Kong this month, the biggest loser among the 149 members of the MSCI China Index, to erase $10 billion of market value. Vanke rallied earlier amid a rare public battle for control of one of China’s biggest companies. China Evergrande Group emerged as a surprise entrant this year after insurance unit of Baoneng Group built a sizable stake in 2015.