Vanke jumps on report China asks banks to keep co's loans off bad-debt books

By Reuters News

** Hong Kong shares of mainland property developer China Vanke jump as much as 15% to HK$2.875, their highest level since May 29

** Stock last up 7%, on course for the biggest one-day pct gain since April 29

** Shenzhen-listed stock 000002.SZ surges 10% to 4.19 yuan, the highest point since March 23

** Chinese financial regulators have asked some banks not to classify overdue loans to Vanke as non-performing and extend repayment deadlines for the state-backed developer, people with knowledge of the matter told Reuters

** In one of Beijing's strongest interventions yet to prevent a default by Vanke, regulators also asked some lenders to hold off on collecting interest payments owed by Vanke, the sources added, without specifying the size of the waivers

** Chinese financial regulators and Vanke did not immediately respond to requests for comment.

** YTD, Hong Kong stock down 18.8%, Shenzhen-listed shares down 13.6%

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