Greentown yet to approve Sunac venture disposal plan

Greentown China Holdings Ltd said it has not approved Sunac China Holdings Ltd's 15.5 billion yuan ($2.5 billion) purchase of assets in a joint venture, the latest development in a dispute between the two Chinese developers.

The board of Greentown, based in Hangzhou in Zhejiang province, is still in the process of evaluating the terms of the disposal, the firm said on Monday in a Hong Kong stock exchange filing.

Sunac, based in Tianjin, said on Dec 31 it would buy Sunac Greentown's equity interest in a venture with stakes in 15 projects across Chinese cities including Shanghai, Wuxi and Suzhou. This comes after Greentown, led by chairman Song Weiping, sold a 24.3 percent stake to China Communications Construction Group last month. The deal terminated an agreement to sell a same-sized stake to Sunac after Song said he thought the companies "don't blend".