Dalian Wanda Group is selling an 8.26% stake in its cinema unit to raise nearly RMB 2.2 billion ($307 million) as the conglomerate faces liquidity pressure, reports Caixin. Wanda Film Holding’s controlling shareholder, Beijing Wanda Investment, is selling 180 million shares to Lu Lili, the wife of financial information provider East Money Information’s owner Qishi, Wanda announced last week.
Wanda Film said the stake sale is due to the company’s own financial needs. Meanwhile, the parent group has a $400 million bond due July 23. Wanda Investment, wholly owned by Wanda Group and its chairman, Wang Jianlin, will remain the movie theater operator’s largest shareholder after the sale with a 30.9% stake.
Lu, who will become Wanda Film’s second-largest shareholder, is buying the stake “based on the belief of the company’s long-term investment value,” Wanda said.