Chinese authorities are working on a proposal to help China Vanke Co. plug a funding gap of about 50 billion yuan ($6.8 billion) this year, according to people familiar with the matter, highlighting the government support for the distressed developer.

Chinese authorities are considering a plan to assist China Vanke in covering a funding shortfall of about 50 billion yuan ($6.84 billion) this year, enabling the property developer to repay its public and private debt,

Shenzhen Metro Group, which holds a 27.2 per cent stake, signed a three-year agreement with Vanke to provide secured loans of up to 2.8 billion yuan (US$383 million), according to a filing to the Hong Kong stock exchange late on Monday.

China Vanke Co. won more support from authorities as its largest state shareholder agreed to provide up to 2.8 billion yuan ($383 million) to help the struggling developer repay outstanding debt.

Chinese authorities are formulating a plan to assist property developer China Vanke Co. in addressing a funding shortfall of approximately 50 billion yuan this year. The proposal includes allocating 20 billion yuan in special local government bonds to purchase unsold properties and vacant land from Vanke,

CHINA VANKE (02202.HK) rallied in the afternoon, peaking at $6.45. It last printed at $6.33, up 16.36%, with 167 million shares traded, involving $979 million. According to Bloomberg, China is working on a plan to help Vanke fill a funding gap of about RMB50 billion.

Chinese authorities are exploring a plan to help China Vanke plug a funding gap of about 50 billion yuan ($6.84 billion) this year, which will aid the property developer to repay its public and private debt,

Chinese authorities are working on a proposal to help China Vanke Co. plug a funding gap of about 50 billion yuan ($6.8 billion) this year, according to people familiar with the matter, highlighting the government support for the distressed developer.