China Vanke's bonds fell to a non-performing level last month; The company is one of the largest real estate developers in China. This week, after officials in Shenzhen, where Vanke's headquarters are located, announced their support for Vanke, Vanke's bond prices quickly recovered some of the lost land.
One major difference between Vanke and other companies such as Country Garden and Evergrande in China is that the government holds a partial stake in Vanke, with Shenzhen Metro Group being the company's largest shareholder.
Despite the rebound in Vanke's US dollar bonds, some of the company's bonds still trade at prices below 60% of face value, indicating investors are concerned about Vanke's long-term ability to repay its debts.
(This article will be updated later)