CRI听力:Vanke-Baoneng Spat Heats up

The spat between China's largest property developer Vanke and its current biggest shareholder Baoneng Group has continued to heat up.

Vanke's President Yu Liang says the company is facing a "hostile takeover".

Last week, Chairman Wang Shi said Baoneng lacks sufficient credibility and may have a negative impact on Vanke's credit rating and reputation.

In response, Baoneng released a statement, saying it has a good reputation and abides by the laws.

Vanke suspended its trading on the Shenzhen Component Index on Friday due to restructuring.

The company said the suspension may last over one month.

On the same day, China's securities regulator said it will not intervene in the matter, as long as there is no violation of the law.

Vanke, which develops residential properties in Shenzhen, Shanghai, Beijing and other major cities, has a market capitalization of 40 billion US dollars.

Baoneng Group replaced China Resources as its largest shareholder earlier this month, with a more than 22 percent stake.

For more on this topic, CRI’s Shane Bigham spoke with Mike Bastin, Director of the China Business Centre at Southampton Solent University based in London.