CHINA Vanke’s second-biggest shareholder, China Resources Group, has criticized the manner in which the property developer struck an up to US$9.3 billion asset-purchase deal earlier in March, Sina Finance said in a report Sunday.

    China Resources Group’s chairman Fu Yuning said Vanke’s agreement with State-owned Shenzhen Metro had not been discussed by the property developer’s board, calling it “unfortunate,” according to the report.

    China Resources Group owns a 15.3 percent stake and three board seats at Shenzhen-based Vanke, the biggest property firm in the country.

    The comments represent the latest twist in the months-long battle between Vanke’s management and largest current shareholder, financial conglomerate Baoneng, for control of Vanke, in what is a rare publicly fought corporate takeover battle involving a Chinese company.

    Under a preliminary accord, Vanke announced March 13 it would acquire Shenzhen Metro’s property projects, mostly atop subway stations in Shenzhen. In return, Vanke would fund the deal mainly by issuing new shares worth up to 60 billion yuan (US$9.25 billion) to Shenzhen Metro.

    The subway operator, which has been made Vanke management’s “white knight” in the battle with Baoneng, could become Vanke’s biggest shareholder.

    “For such a big deal, [they] held a meeting March 11 and then issued an statement on the next day that involved equity consideration, transacted asset size and payment method. Is this appropriate?” Sina Finance cited Fu as telling reporters Saturday.

    (SD-Agencies)