Wang Jianlin announced that Wanda will completely bid farewell to the real estate field. What is the reason behind this?

For Wanda, real estate can be said to be the source of its start. Wanda made its fortune from real estate at the beginning, and then gradually grew bigger. Until today’s Wanda Group. Now Wanda is directly selling all its real estate, which can be described as an explosive change.

However, Wanda’s direct transformation into asset-light this time still has traces to follow. Wanda began selling Wanda Plazas in the past few months, with Wanda Plazas in Yancheng, Jiangsu and West Lake Wanda Plaza in Nanchang, Jiangsu being the first to change hands. That's because we just thought that Wanda's capital chain might be broken, and we hoped to form a connection through selling plazas. It seems that this is just Wanda's test.

Today, Wanda Commercial has signed transfer agreements with Sunac China and R&F Properties respectively. Wanda will acquire all the equity in 77 city hotels and 91% of the equity in 13 cultural tourism projects for more than 60 billion yuan. Transferred to R&F and Sunac respectively. Achieving a qualitative change means that Wanda has completely bid farewell to real estate. It seems that Wanda wants to completely get out of real estate. As for Wang Jianlin's statement, "As long as Wanda exists, Disney will not be able to make a profit within ten to twenty years." Such a bold statement has become a joke.

According to the Wanda Hotel Development Announcement, Wanda Hotels tentatively plans to acquire the entire equity of Wanda Cultural Tourism Creative Group Co., Ltd. (Wanda Cultural Tourism) for 6.3 billion yuan. It seems that Wanda will focus on the design, construction and operation management of tourism theme parks.

The official WeChat account of Wanda Group, helmed by Wang Jianlin, announced today: Wanda has completely said goodbye to real estate! Wang Jianlin, who is 64 years old this year, may not have thought that he would reach this point today. Because as early as 2016, Wang Jianlin ascended to the throne of China's richest man. Data show that before August 2017, Wang Jianlin’s wealth exceeded US$35 billion, and Wanda’s total assets exceeded 800 billion yuan.

But the good times did not last long. In the second half of 2017, the situation took a turn for the worse. It turns out that the Malaysian Bandar Malaysia project that Wang Jianlin was determined to win lost ground. Because the state has tightened supervision on overseas financing, Wang Jianlin had to sell off the tourism, film and television projects that he had invested heavily in overseas at low prices, which resulted in serious losses on his books.

Later, Wang Jianlin publicly stated that Wanda currently has a debt of 400 billion. In a short time, Wang Jianlin changed from the richest man to the first debtor. In order to repay investment losses, Wang Jianlin embarked on the road of selling off heavy assets. In July 2017, Wanda Group sold 91% of the equity in the 13 Wanda City projects mentioned above to Sunac China, controlled by Sun Hongbin, for 43.844 billion.