While real estate deal watchers have been focusing on Anbang’s bid(s) for Starwood, back on the mainland the dramatic struggle to control China’s largest property developer took an unexpected twist today. Also a Chinese mall developer hopes to raise big bucks by dumping a portfolio of 44 malls, and Wang Jianlin wants you to see the opportunities involved in football corruption. Read on for all these stories and more.
China Vanke Co. ’s second-largest shareholder has expressed dismay over how the property developer unveiled a plan to buy assets from Shenzhen Metro Group for as much 60 billion yuan ($9.3 billion).
Fu Yuning, chairman of state-owned China Resources Group, complained that the March 12 signing of a memorandum of understanding between Vanke and Shenzhen Metro—including details on the issuance of shares for consideration, the size of assets and payment methods—came just a day after a Vanke board meeting at which there was no mention of the deal. His remarks, reported Sunday by Sina Finance, were confirmed by a person familiar with the company. Read more>>
One of China’s largest mall owners is looking to unload 44 already built and in-progress malls, underscoring the impact growth in e-commerce is having on the country’s retail industry.
Renhe Commercial Holdings, led by tycoon Dai Yongge, expects to raise a minimum of $1 billion from the sale and use $760 million of the total to repay offshore debt, the company said in a statement on Friday after the end of trade in Hong Kong. Renhe’s shares fell 1.6% on Monday. Read more>>
Wang Jianlin, China’s richest man, said FIFA’s corruption scandal was an opportunity for big Chinese companies to further the country’s lofty footballing ambitions by undertaking sponsorship deals with the global governing body. Wang’s Dalian Wanda Group, China’s biggest commercial property developer and an active buyer of global entertainment and sports companies, became the first Chinese top-level sponsor of FIFA last week.
At a news conference in Beijing on Monday, the 61-year-old multi-billionaire said that he expected other companies to follow suit to help drive China’s ambition to become a soccer superpower. Read more>>
Home prices in Hong Kong will continue to fall another five per cent in the next couple of months as local developers are in a rush to sell homes , says chairman of Henderson Land Development, Lee Shau-kee.
Lee said the city’s housing prices will fall about 30 per cent from their peak in the wake of the high development costs. The market is about half way throught the price correction cycle, having given up around 15 per cent from highs last autumn, he added. Read more>>
China Resources Land Ltd. has applied to Chinese regulators for a 20 billion yuan (US$308.4mil) quota to sell bonds as an offshore issuer in the domestic market, according to people with direct knowledge of the matter.
The sale, if it happens, would be the first panda bond sold by a Chinese property company in the country’s interbank market, according to Bloomberg data. Read more>>
Tune in again tomorrow for more news, and be sure to follow @Mingtiandi on Twitter for headlines as they happen.