Deals
Sunac Shares Plunge as Contagion From Wanda Scrutiny Spreads
- Local media report says banks reviewing Sunac credit risks
- Wanda faces funding cuts, according to people familiar
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Sunac China Holdings Ltd. shares and bonds plunged after a local media report that domestic banks are reviewing its credit risk following a deal to buy assets from Dalian Wanda Group Co., a firm that has attracted scrutiny from China’s leaders for its prolific deal binge.
The shares fell 7.3 percent to HK$15.94, in Hong Kong after earlier plunging as much as 13 percent, the biggest intraday drop since July 2015. The developer’s 2019 U.S. dollar bonds were set for the largest decline on record, falling 4.9 cents to 98.5 cents on the dollar as of 3:23 p.m. Hong Kong time, according to Bloomberg-compiled prices.