Wanda tycoon takes control of Hong Kong-listed hotels unit for $469 million
In the latest step in the ongoing reorganisation of Dalian Wanda Group, Wanda Hotel Development becomes sole HK-listed platform.
Chinese tycoon Wang Jianlin is buying a controlling 65 per cent stake in Hong Kong-listed company Wanda Hotel Development for HK$3.67 billion (USD 469 million), at HK$1.20 per share, the latest step in the ongoing reorganisation of his Dalian Wanda Group.
According to a regulatory filing on Monday, Wanda Investment Holding, a company wholly owned by Wang, has signed a non-legally binding letter of intent to buy 65 per cent of Wanda Hotel Development from Wanda Commercial Properties Overseas, which is also majority-owned by Wang.
The statement said the ultimate controlling shareholder of Wanda Hotel Development would be unchanged after the proposed transfer, as Wang Jianlin had received a waiver from Hong Kong’s Securities and Futures Commission on the need to make a general offer after the deal, according to the statement.
The transfer followed Wanda Hotel Development’s proposed acquisition of the entire equity interest in Wanda Hotel Management, Wang Jianlin’s prime “asset-light” hotel management, hotel franchising and consulting operations. A shareholders' meeting is scheduled for December 8 to vote on that proposal.
“But one thing is certain: Wanda Hotel Development has become the sole Hong Kong-listed platform of the Wanda Group,” said Liu Feifan, a property analyst at Guotai Junan International.
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