China Vanke Secures Creditor Approval to Defer Principal Payments and Avert Immediate Default

China Vanke Co Ltd 2202.HKobtained critical creditor approval on Wednesday, January 21, 2026, to defer repayments on a 1.1 billion yuan puttable bond, effectively avoiding an immediate default. The agreement comes just one day before a January 22 deadline, when a put option would have allowed bondholders to demand full repayment on the note that carries a final maturity date in January 2028. This move provides a temporary reprieve for the company, which remains a central figure in the ongoing property sector crisis within China CN.

Under the terms of the approved restructuring, approximately 90% of the creditors agreed to defer 60% of the principal payment by one year. In exchange for this concession, the developer committed to paying 40% of the principal upfront and providing additional collateral to secure the debt. This successful proposal followed a period of tense negotiations in which creditors had previously rejected a less favorable offer that would have seen only a 5% immediate payment paired with a 60-day grace period for the remainder.