HK-listed Wanda Hotel drops most in 2 years as Sunac hotel deal scrapped

Wanda Hotel Development

17/09/2021 05:32

** Shares of Wanda Hotel Development Co Ltd  0169.HK  drop
9.9% to HK$0.32, the biggest daily percentage decline since Aug
2019
    ** Stock on track for weekly decline of 10.9%, the biggest
such drop since mid-March 2020 
    ** Co says it has reached an agreement with Sunac China
Holdings Ltd  1918.HK  for early termination of hotel management
agreements for 21 hotels owned by Sunac and managed by Wanda
 urn:newsml:reuters.com:*:nFWN2QI0LG
    ** Says Sunac has agreed to pay 133.32 mln yuan ($20.7 mln)
to co as compensation for early termination, and another 68.59
mln yuan to settle all outstanding payables accrued up to June
30
    ** Wanda says its hotel operation and management business
will be negatively affected by termination
    ** Shares of Chinese property developer Sunac fall 2.9% to
HK$13.32, lowest since June 2017
    ** The Hong Kong Hang Seng Composite Index tracking
properties and construction stocks  .HSCIPC  slips 0.8% while
the Hang Seng Composite Index  .HSCI  climbs 0.6%
    ** The Hang Seng China Enterprises Index  .HSCE  gains 0.9%
and the benchmark index  .HSI  adds 0.4%
    ** As of last close, Wanda stock had surged 16.4% this year


($1 = 6.4507 Chinese yuan renminbi)

 (Reporting by Donny Kwok)
 ((donny.kwok@thomsonreuters.com))