Dalian Wanda Notably Not Among Latest Bidders for Major Malaysia Development Project, Bandar Malaysia
Dalian Wanda Group, which was widely expected to be a leading bidder for the restructuring of the massive Bandar Malaysia development project in Kuala Lumpur, is not among the bidders to come forth, according to reports. The company has recently been targeted by a domestic crack-down on its overseas activities that have drawn scrutiny of leadership for the size of the debt they have been accumulating and their targeting assets seemingly outside of their core focus.
Wanda’s failure to launch a bid is a further sign of the seriousness of this pressure and of the dramatic turnaround that has afflicted this company over the past couple of months. Other firms have been similarly effected, such as Anbang, HNA, and Fosun. Wanda had previously stepped into the void after Malaysian authorities cancelled an earlier round of tendering. The project has strategic significance in terms of its role as the terminus for the upcoming High-Speed Rail project linking Singapore to Kuala Lumpur.
The nine bidders are: China State Construction Engineering Corporation, China Communications Construction Company (CCCC), China Gezhouba Group Corporation, Greentown Overseas, China Resources, China Vanke, CCCC-owned John Holland, as well as Japanese firms Daiwa House Industry Group and Mitsui Fudosan. The proposals reportedly range from $7 billion to $10.5 billion.
It appears a new cycle of political favor for Chinese corporations is emerging: the fall from grace for Wanda, Anbang, HNA, and Fosun is matched by the ascent of Vanke, Greentown and Gezhouba. T he recovery of Vanke is particularly notable, coming just one month after founding chairman Wang Shi stepped down.