Wang Jianlin struggled to survive and called for the extension of 600 million US dollars in bonds,

Mondo Finance Updated on 2024-01-19

Wang JianlinThere are huge challenges ahead. Wanda GroupCall on bondholders to roll over $600 millionDebt, which was a rare "plea". And at the same time,Wang JianlinIt also faces more than 30 billion bills that are due soon. theseDebtThe ** can be traced back to more than 2 years ago, when investors handed over their fundsWang Jianlinhands, and signedVAM Agreements。However, due toWandaBusiness management's cash flow problems and unobtainedHong Kong Stock ExchangeListing approval, resulting in:Wang JianlinIt is not possible to repay theseDebt。It's notWang JianlinThe first time he got into trouble, 6 years ago, he was faced with a similar situation. At that time,Wang JianlinPassed**WandaThe cultural tourism and hotel business barely survived that hurdle. Now, again, he needs to find a solution to deal with the huge amount to comeDebt。After all, his corporate kingdom has not yet fallen.

Wanda GroupRecently, it launched an "appeal" to offshore bondholders, hoping to extend their $600 million holdingsDebt。The bond was issued in 2014 with a maturity date of January 2024 and a yield of up to 739%。However,WandaFaced with cash flow problems and unable to repay on timeDebt, and therefore proposed an extension to the creditors. If this oneDebtUnable to roll over successfully,WandaIt will also be unable to lend to domestic banks, which is undoubtedly a devastating blow to businesses. Previously, creditors had agreedWandaof the rollover program, the $600 million was liftedDebtpressure.

ExceptDebtOutside the problem,Wanda GroupThere are also other operational pressures. In recent years, due to the recession of the real estate industry and the difficulty of transforming the business modelWandaThe cash flow of business management is gradually tightening. According to the financial report data, as of the end of the first half of 2023, ZhuhaiWandaCash & Business ManagementCash equivalentsThe balance has been reduced by 5344% whileInterest-bearing liabilitiesUp to 1412$8.3 billion. In such a case,WandaNew monetization opportunities need to be found to alleviate cash flow pressures.

In addition to $600 millionDebtRollover issues,Wang JianlinThere is also another huge amount to faceDebtpressure. This oneDebt**Paid by investors in 2017Wang JianlinMore than 30 billion yuan of funds in hand and signedVAM Agreements。In accordance with the agreement, ifWandaThe business management will not be able to complete the listing in 2023Wang JianlinThese more than 30 billion need to be redeemedDebtand pay the corresponding interest. However, for nowWandaThe listing application is still pendingHong Kong Stock ExchangeApproved, this is already alreadyWandaThe fourth application within 2 years. Due toHong Kong Stock ExchangeRightWandaThe operating conditions are reservedWang JianlinIt is not possible to repay these on timeDebt, which put a lot of pressure on him.

In order to cope with the comingDebtHuge amount,Wang JianlinHad to look for various ways to raise cash. In July of this year, he divided into 3 **WandaThe shares of the film were exchanged for nearly 7 billion in cash. In addition, he also **WandaSquare、Financial Licenseand Infront Sports. These initiatives are though:Wanda GroupSome money was raised, but it was still far from enoughWang JianlinFaced with huge sumsDebtIssue. His hard work and anxiety can be seen.

It's notWang JianlinIt is the first time that we have faced such a severe business crisis. 6 years ago,Wanda GroupIt was also in trouble for a while. In 2017,WandaSuddenly investigated by the China Securities Regulatory Commission, the bond market**,WandaFacing the situation of double killing of stocks and debts. At that time,Wanda GroupofDebtAs high as more than 400 billion, the pressure is huge. However,Wang JianlinDecisive**WandaThe cultural tourism and hotel business barely survived that difficulty. This time he faced a similar situation, but the situation was more complicated. He needs to find a solution to deal with the huge amount that is comingDebtand his".White KnightR&FHerongac now has its own predicament and can no longer play the role of a lifesaver. Wanda GroupNew supporters will need to be found to tide over this difficult time.

Wang JianlinFacing huge business difficulties. He hopes to settle $600 million through the rolloverDebtproblems, and at the same time, it is also facing more than 30 billion bets that are about to expireDebt。theseDebtThe ** can be traced back to more than 2 years ago when the investor's funds were handed overWang JianlinHands. Due toWandaBusiness management's cash flow problems and non-acquisitionHong Kong Stock ExchangeListing Approval,Wang JianlinIt is not possible to repay these on timeDebt。In order to cope with this crisis, he had to ** assets and look for opportunities to raise cash. However, his efforts are still far from enough, and he needs to find new supporters to help him through this difficult time. ForWang JianlinwithWanda GroupThis is a critical moment, and their future fate is still unknown.

Related Pages