Country Garden’s (COGARD) dollar bonds jumped as much as 14% after news that it secured loan quotas from AgBank and China Merchants Bank (CMB). Shanghai Securities News initally reported that COGARD entered a loan facility of RMB 20bn ($3.14bn) with the AgBank of China’s Guangdong Branch. Bloomberg however notes that according to an exchange filing, COGARD secured an RMB 40bn ($6.3bn) facility AgBank’s Guangdong Branch. They add that COGARD also also got a $2.36bn loan from CMB. The loans will be used for property merger and acquisition, as well as affordable rental housing and personal housing mortgage loan businesses.
