Wanda sells Aus projects to billionaire owner
DALIAN Wanda will sell a 60% stake in its Australian projects to Dalian Wanda Commercial, a company controlled by its founder and chairman Wang Jianlin, as part of a major restructure.
The restructure comes after the company earlier this week denied that it was looking to offload its $2 billion projects - the $1 billion Jewel project on the Gold Coast and $1 billion Circular Quay development in Sydney.
Dalian Wanda labelled the speculation “completely false” that it was negotiating to sell its projects to Harry Triguboff’s Meriton and Lendlease.
Along with the Australian projects, Wanda Hotel Development, the Hong Kong-listed arm of Dalian Wanda, will sell a:
- 51% interest in Wanda Properties Investment Limited, being the holding company of the group’s project in Guilin;
- 60% interest in Wanda International Real Estate Investment Co. Limited, being the holding company of the group’s project in London;
- And 60% equity interest in Wanda Americas Real Estate Investment Co., Limited, being the holding company of the Group’s project in Chicago.
The move is another example of major Chinese companies winding back their offshore expansions due to a Chinese government’s crackdown in capital flowing out of the country.
Chinese outbound funds topped $US219 billion last year, according to Dealogic. In the first half of this year, it has dived to $US64.2 billion after the government imposed restrictions.
Chinese authorities have also ordered the repatriation of capital.
Chinese insurer Anbang has been ordered to sell the iconic Waldorf Astoria hotel in New York, which Anbang bought in 2014 for US$1.95 billion.
Australian Property Journal