The recent plunge in China's real estate giant Vanke should come as no surprise. The inherent instability of Vanke became clear late last year when its major competitor, privately-owned Baoneng Group, acquired enough shares to become its largest shareholder.

Daggers have been well and truly drawn between Vanke and Baoneng after the former announced a major asset-restructuring plan with Shenzhen Metro Group. If the restructuring goes through, Baoneng will no longer remain Vanke's major shareholder. No wonder the already rocky relationship between Vanke and Baoneng has now descended into an open and internecine warfare.

Baoneng considers it acceptable to call publicly for the removal of the entire Vanke senior management. It has been less than complimentary toward its archrival on many previous occasions, too.