You will be redirected back to your article in seconds

China’s Wanda Hits Back at Allegations of Financial Difficulty

China’s Dalian Wanda group has hit back at allegations that it is in financial difficulty, including suggestions that its cash flow has been cut off.

The allegations were published recently on Chinese blog Baoyouqu, in a post headlined “Wang Jianlin Meets His Waterloo.” Wang is Dalian Wanda’s chairman. The company said it had reported Baoyouqu to the police for slander.

Wanda rebutted eight points made by the blog. Among them were suggestions that more than half of Wanda’s assets have been eroded, and that Wanda’s net assets are in fact loans from government-owned banks. Baoyouqu said that Wanda’s cash flow “has been cut off.”

The property-to-entertainment giant insisted that it has a strong asset base and has opened more than 50 Wanda Plaza shopping malls so far this year. It said that net assets exceeded $45.5 billion (RMB300 billion) in 2016, and will increase in 2017. And it said that revenues and cash flow will both exceed $30.3 billion (RMB200 million) in 2017. Those figures are unaudited; Wanda normally reports annual financial data in January.

Wanda also pushed back against the suggestion that a property company has no right to be in the business of exporting Chinese culture. Since acquiring U.S. cinema chain AMC in 2012, “Wanda has now screened over 160 Chinese films in overseas cinemas without government subsidies, accounting for 80% of the Chinese film industry’s international box office,” the company said.

Wanda has also been building a massive studio complex in the coastal Chinese city of Qingdao. Although it is now selling a majority stake in Qingdao Studios to property developer Sunac China in order to reduce its borrowings, Wanda is still in charge of the construction project. It said that it has now opened a new backlot with street scenes resembling European locations and 1930s Shanghai.

“Designed under the theme of cinema for nostalgia, the location meets the demands for shooting certain scenes in films and provides modern commercial services and offices. The location has revived the scenes of the neighborhoods from the past through pebbled walkways, detailed designs and decorative green plants,” it said on its website.

More Biz


    Endeavor Promotes Mark Shapiro to President

    After four years overseeing content operations at IMG, Mark Shapiro has been promoted to president of Endeavor. Shapiro’s elevation to the newly created post comes as Endeavor has expanded dramatically during the past few years, starting with its acquisition of IMG in 2014. Endeavor is now the parent company of WME, IMG, UFC and other [...]

  • Rhapsody, Sony Music to Launch Spotify

    Rhapsody, Sony Music to Launch Spotify Competitor in Japan

    Rhapsody and Sony Music Entertainment today announced a partnership to launch what they describe as the first on-demand, high-resolution streaming music service in Japan. Rhapsody International is providing its “Powered by Napster” platform including a set of systems, tools and APIs to allow SMEJ to quickly launch and bring its on-demand service to market. The service, [...]

  • China's Alibaba to Take Majority Control

    Alibaba to Take Majority Control of Alibaba Pictures

    Chinese e-commerce giant Alibaba is to take majority control of its films unit Alibaba Pictures. The $160 million (HK$1.25 billion) deal was announced Monday. The companies said that Alibaba would increase its stake in Hong Kong- and Singapore-listed Alibaba Pictures through a share subscription. It will lift the parent company’s stake from 49% to 51%, [...]

  • Guy Moot

    Is Sony/ATV’s Guy Moot Headed for Top Job at Warner/Chappell?

    Ever since Jon Platt announced in September that he will be stepping down from his post at the helm of Warner/Chappell Publishing to take the top job at Sony/ATV when Martin Bandier’s contract is up at the end of March, speculation has been rife about who will take over for him. One name has been [...]

  • The King Eric Clapton A Life

    Rashida Jones, Lili Zanuck Talk Grammy Nominations and the Music-Documentary Gold Rush

    Nothing takes you back to time and a place like the music of a particular era. That’s one big reason why music documentaries are flourishing at a time of enormous demand for high-end docu productions. This year’s five Grammy Award nominees for best music film reflect the appetite for stories about renowned and beloved musical figures, [...]

  • il bussetto best business card holder

    Office-Appropriate Gifting: The Best Gifts For Your Colleagues and Bosses

    You can do better than a handshake or bottle of wine to wish your boss a Happy Holiday this season. Here are 10 gifts that show your appreciation for your colleagues or manager, while also helping you stand out from the card and cookie-wielding pack. 1. Personalized Beer Growler Whether they are using it for [...]

  • viceroy-los-cabos-review

    Winter Hotel Guide: Where The Stars Stay in Los Angeles, New York and Beyond

    Whether for a business meeting, a private event, or an intimate celebration for family and friends, these are the hotels that Hollywood keeps on its list. From storied properties that are rich in film and fashion lore, to new players on the hospitality scene, here’s where to book your next stay. 1. Hotel Shangri-La (Santa [...]

More From Our Brands

Access exclusive content