(Reuters) – Property developer China Vanke told some investors on Wednesday it had no plans to extend its bonds amid a market selloff, news agency REDD reported, citing two people briefed on the matter by the company.
The issuer said on Thursday that investors were notified following internet rumors that China Vanke was considering a bond extension.
The investor, however, did not clarify whether it has prepared the funds to repay the debt due this quarter, REDD reported.
China Vanke did not immediately respond to a Reuters request for comment.
China Vanke highlighted its reliance on operating cash flow and asset sales for financing, with proceeds from several transactions signed last year starting to materialize, the report said.
Funds from the asset sale will be used to support debt repayment, the report said.