Text/Leju Finance, Li Lan

On the afternoon of November 20th, in the conference room at Shenzhen Vanke Center, the red backdrop behind the podium was striking. Against this vivid red, the white text reading "The First Extraordinary Shareholders' Meeting in 2025" stood out with solemnity and clarity.

Seven key management personnel attended the meeting. Newly appointed Chairman Huang Liping took his place at the center of the podium for the first time in his new role. He was flanked by Executive Vice Presidents Yu Liang, Li Feng, Li Gang, Hua Cui, Han Huihua, and Board Secretary Tian Jun.

Although this extraordinary meeting was not a grand annual event, it still drew a significant number of shareholders. During the meeting, a vote was held to approve the "Proposal on Establishing a Framework Agreement for Shenzhen Metro Group to Provide Shareholder Loans to the Company and for the Company to Provide Guarantees."

According to the proposal, from the start of 2025 until the date of the 2025 shareholders' meeting, Shenzhen Metro will offer Vanke loans not exceeding 22 billion yuan. These funds will be used to repay the company's public debt principal and interest, as well as designated loan interest agreed upon by Shenzhen Metro.

To date, Shenzhen Metro Group has already provided a total of 21.376 billion yuan in unsecured loans.

Addressing concerns about collateral arrangements, Vanke's management clarified at the shareholders' meeting that these measures are in line with the loan contract agreement between the two parties and reflect the principles of marketization and rule of law. In the initial stages, to promptly meet the company's funding needs, the major shareholder had already advanced some funds. This time, the company is seeking shareholder authorization to complete the asset collateral procedures. It's worth noting that the major shareholder has fully supported Vanke this year, and the borrowing terms are more favorable than market levels.

"For our current work, Vanke will concentrate its efforts and resolve risks in an orderly manner," Huang Liping stated at the shareholders' meeting. Huang Liping, a professor-level senior engineer, officially succeeded Xin Jie in October this year, becoming Vanke's third chairman in nearly a year.

Making his debut as chairman, Huang Liping candidly addressed the current challenges at the meeting. He acknowledged that during the transition from the old to the new development model in the real estate industry, there will inevitably be a period of pain to digest the burdens accumulated during the past "three highs" (high leverage, high turnover, and high profit margins) era. The company's development faces severe challenges, and its operating performance will continue to be under pressure. In response, he stressed the need to rally the wisdom and strength of all stakeholders, work in unison, and maintain firm confidence and sufficient patience.

Regarding future work, Huang Liping systematically outlined for the first time the "Three Persistences" strategy for Vanke's future development: persisting in strategic focus, persisting in standardized operations, and persisting in technology empowerment.

In terms of "strategic focus," Huang Liping stated that Vanke will implement measures across five dimensions: urban focus, business portfolio, development model, product positioning, and technology empowerment, in alignment with the "15th Five-Year Plan's" requirements for "promoting high-quality development of the real estate industry."

Regarding "standardized operations," he proposed establishing a management mechanism that is "governance-standardized, internally controlled, and transparent," organically combining "strengthening control" with "maintaining vitality" to build a more standardized and efficient governance mechanism.

In terms of "persisting in technology empowerment," he emphasized the full application of new technologies to create competitive products and services, collaborating with partners to accelerate scenario cultivation, and openly promoting the large-scale application of new scenarios.

Data shows that from January to October, Vanke achieved sales of 115.28 billion yuan, and its operating service business revenue increased slightly year-on-year. In terms of resource activation, with policy support, Vanke added 22.8 billion yuan in sellable inventory in the first 10 months. Regarding organizational structure, the company has streamlined the control hierarchy from "three and a half levels" to "two levels" through organizational restructuring, further strengthening the headquarters' management functions and shortening the management chain.

However, the management also acknowledged that the current operating pressure has not been effectively alleviated, and difficulties still persist. The company will continue to leverage its product and service advantages, continuously optimize management, and improve operating efficiency. Regarding market trends, Vanke believes that with the continuous implementation of policies, reasonable housing demand will gradually be met, and the industry is expected to gradually emerge from the adjustment cycle and move towards a new stage of steady development.

In terms of capital operations, Vanke stated that with the support of all parties, it is making every effort to improve its operations. At the same time, it will divest some businesses and assets that are not highly relevant to the company's strategy through capital operation means to enhance cash flow and the asset-liability structure.