Dalian Wanda Group agreed to sell 13 tourism programs as well as 76 hotels to Tianjin-based property company Sunac China Holding in a deal worth 63.17 billion yuan (.3 billion) on Monday, according to a statement Wanda sent to the Global Times the same day.
Sunac will acquire 91 percent of the 13 cultural and tourism programs, including those based in Xishuangbanna, Southwest China's Yunnan Province, Hefei, capital of East China's Anhui Province and Harbin, capital of Northeast China's Heilongjiang Province, after paying 29.58 billion yuan to Wanda, the statement said. The Hong Kong-listed company will then undertake all the loans for developing those programs.
The company also agreed to buy out 76 hotels owned by Wanda, including Wanda Realm Beijing and Wanda Reign Wuhan for 33.6 billion yuan, the statement noted.
The two firms are expected to sign a detailed agreement by July 31 and complete the transfer of payment, assets and shares "as soon as possible", according to the statement.
After the deals are settled, the transferred cultural and tourism programs will still use the Wanda brand. Wanda is also still responsible for their construction, operation and management.
As of 11:20 a.m., the share price of Dalian Wanda Commercial Properties, the Hong Kong-listed arm of Wanda, has surged to HK$ 1.16 (14.85 cents), almost double the number listed from the opening earlier this morning. The Sunac's shares were suspended from trading on Monday ahead of the acquisition announcement.