Wang Jianlin s most failed decision should not be to buy commercial real estate in 2022!

Mondo Social Updated on 2024-01-30

Recently, in order to repay his debts, Wang Jianlin was forced to sell his "own son" Wanda Films, although he was also selling Wanda Films when he was short of money before, but the control is still firmly in the hands of Wang Jianlin, and he will not lose control, which is Wang Jianlin's bottom line. But as more and more debts became due and difficult to repay, Wang Jianlin had to choose to break his arms again to survive and sell the former "not for sale" Wanda Movie.

On December 6, Wanda Film announced that the company's indirect controlling shareholder, Beijing Wanda Cultural Industry Group, and its wholly-owned subsidiary, Beijing Hengrun Enterprise Management and Development, the actual controller of the company, Wang Jianlin, intends to transfer 51% of the company's controlling shareholder, Beijing Wanda Investment, to Shanghai Ruyi Investment Management, and as of December 6, the stock price of Wanda Film is only 1245 yuan shares, at the bottom range since its listing eight years ago.

Why is Wanda Film Wang Jianlin's "fist product"? As of September 30, 2023, the company has 877 opened theaters and 7,338 screens in China, including 709 directly operated theaters and 6,159 screens, and 168 asset-light theaters and 1,179 screens, with a cumulative market share of 16 in the first three quarters5%。It can be said that Wanda movies can completely influence the box office of a movie. At that time, the movie "I Am Not Pan Jinlian" directed by Feng Xiaogang was very low, after all, Feng Xiaogang and Wanda had a holiday, and after tearing up with Wang Sicong, Wanda Films directly removed the movie from the shelves, so that Huayi Brothers and Feng Xiaogang suffered heavy losses.

Wang Jianlin is now very short of money, and he took more than 30 billion in cash in the first two years, and bets that Wanda Commercial Management will be able to go public successfully this year, if it is not successful. You have to take out the money to buy back these **, and you have to get additional interest. Obviously, Wang Jianlin's Wanda account only has a total of 14.6 billion in cash, and he can't come up with so much money, and now he can only endure the pain and sell all that he can. After all, a wave of assets has been sold five years ago, and in 2018, Tencent, JD.com, etc. invested 34 billion yuan to acquire 14% of Wanda Commercial's shares; In the same year, Ali invested 46800 million yuan to buy part of the equity of Wanda Film; In 2019, Greentown invested 271.8 billion yuan to buy 900 million shares of Centennial Life in Wanda's hands; Soon after, Suning took over 37 department stores under Wanda Department Store.

Did Wang Jianlin make a mistake? Of course, there is, mainly because Wang Jianlin is overconfident, thinking that Wanda Commercial Management will be successful in listing by the end of 2023, and there is no possibility of unsuccess. Therefore, Wang Jianlin is still spending money on commercial real estate like crazy in 2022, which is also Wang Jianlin's most unsuccessful decision.

In January 2022, Wanda took over the unfinished Huludao project at a low price; In February, it fully took over Tiansenhui in Xinzhou, Shanxi; In March, it took over Ganzhou Juyi Plaza and Yangzhou Huamao Shopping Center; In April, it sold Jianye Group and won the real estate commercial operation business.

By July of the second half of the year, Wanda continued to take over an unfinished building project in Hefei; In August, it bought part of the equity held by Zhongrong Trust; In September, it took over 5 Oaks Plazas and so on.

Wang Jianlin spent more than 10 billion ** commercial real estate before and after, and also exhausted Wanda's last bit of funds. Although many projects became profitable soon after Wanda took over, Wang Jianlin was reluctant to sell Wanda Films in the face of huge debts. Wang Jianlin's most failed decision: it shouldn't be in 2022 ** commercial real estate! What do you think about this? Everyone is welcome to discuss with each other in the comment area.

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