Country Garden Services to sell stake in Zhuhai Wanda for $446 million

FILE PHOTO: A drone view of an under-construction residential development by Country Garden in Shanghai, China February 29, 2024. REUTERS/Xihao Jiang/File Photo

Country Garden Services, the property services arm of Chinese property developer Country Garden, said on Wednesday it agreed to sell its 1.49 per cent stake in Zhuhai Wanda Commercial Management for 3.14 billion yuan ($446.54 million).

Country Garden Services will sell its 1.49% stake in Zhuhai Wanda for $446.54 million to streamline investments and refocus on core operations amid ongoing debt restructuring and a 38% drop in H1 profit for 2024.

The sale allows the company to streamline its investments, recover capital, and refocus on its core business operations as part of its planned exit strategy, it said.

Once a top developer by sales, Country Garden is undergoing an offshore debt restructuring after defaulting on its $11 billion offshore bonds last year.

The beleaguered company also reported a drop of more than 38 per cent in its first-half profit for 2024.

($1 = 7.0318 Chinese yuan renminbi) (This story has been refiled to correct a typographical error, in paragraph 4).

Source: https://www.channelnewsasia.com

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