China’s banking regulator has ordered domestic lenders to check the “systemic risk” presented by “some large enterprises” involved in overseas buying sprees, sending stock prices of some of the country’s most acquisitive private-sector companies sharply lower.
Shares in listed companies controlled by Dalian Wanda, the property-to-entertainment giant, Fosun International, the consumer group, and conglomerate HNA all fell as news of the order spread through markets.
A senior banker in Beijing said the China Banking Regulatory Commission had instructed banks to examine their exposure to those three companies and Anbang, the unlisted insurer.