Two major shareholders of real estate developer China Vanke Co. sought for an extraordinary shareholders meeting with the aim of ousting 10 of its directors including Chairman Wang Shi and President Yu Liang, the company said in a filing to the Hong Kong exchange.

According to Bloomberg, on Friday, June 24, Vanke reportedly received the "requisition notice" for the general meeting from Shenzhen Jushenghua Co. and Foresea Life Insurance Co., which hold 24.29 percent of the company's stock. Vanke said the board has 10 days to decide whether to summon a meeting or not.

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The move comes after China Vanke closed a deal worth $9.3 billion in March to make Shenzhen Metro Group its biggest investor. The deal had been opposed by financial conglomerate Baoneng, China Vanke's current largest shareholder, as it will allegedly result in dilution of shareholder equity and earnings.

Baoneng also expressed concern that China Vanke management appeared to be controlled and manipulated by "insiders" and is unable to fairly represent the interests of its investors.

Meanwhile, Vanke said its deal with Shenzhen Metro Group is a "life-or-death" matter since it is trying to find new alternatives to expand despite the increasing land costs. If the deal is closed, China Vanke will be able to source assets for property developments.

China's securities regulator, on the other hand, revealed that the bourse is beginning to investigate Vanke's plan for restructuring. Reuters reported regulators are probing into the board meeting's specifics and the roles of its independent directors.

Tagschina vanke, Shenzhen Jushenghua Co., Foresea Life Insurance Co., Shenzhen Metro Group, Baoneng