The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2020 Euromoney is part of the Euromoney Institutional Investor PLC
Northeast Asia

Chinese banks slow lending

Mainland banks have long been known for their penchant to commit chunky amounts to loans, either as participants or as book runners, but that is changing, say loans bankers in the region.

By Pan Yue

doors-risk-gamble-600

Mainland lenders are becoming more selective, bankers say



They point to a recent loan for China Vanke, a Rmb4.15 billion ($656 million) facility, which will be used to acquire 20 shopping malls in China from Singaporean real estate company CapitaLand. DBS of Singapore and Maybank of Malaysia are leading the trade. But when Vanke Real Estate (Hong Kong) Co sealed a dual-currency loan of around $720 million in December 2017, Bank of China and Bank of Communications were the mandated lead arrangers alongside DBS, HSBC and UOB, according to Dealogic.

Bankers say the trend started even earlier. Last March, Chinese tech firm Tencent sealed a $4.65 billion five-year deal in which only four Chinese banks participated — Bank of China, Bank of Communications, China Construction Bank and China Development Bank.




Take out a complimentary trial

Take out a 7 day trial to gain unlimited access to Euromoney.com and Asiamoney.com analysis and receive expertly-curated updates direct to your inbox.

 

Already a user?

Login now

 

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree