On July 31 2019, the ‘CSC-Wanda Plaza Yangtze River Economic Zone Phase I Asset-Backed Special Plan,’ in which Dalian Wanda Commercial Management Group Co., Ltd. was the originator, was successfully issued on the Shanghai Stock Exchange. The product was called Wanda Plaza CMBS, with an issuing value of RMB 2.7 million at the rating of AAA for a term of 3+3+3+3+3+3 years, with a multiple of subscription of 1.83. The underlying assets in this plan are Songjiang Wanda Plaza and Ningbo Jiangbei Wanda Plaza. The successful offering of this asset-backed securities (ABSs) not only revitalized the stock of the commercial assets of Wanda Group, opening up new financing channels, but it also laid a solid foundation for Wanda Group to receive the various ABS products. These ABS products reduce enterprise operation risks, and present an opportunity to transform urban operations and service providers.
Dalian Wanda Commercial Management Group Co., Ltd. was established in September 2002. It is a global leading enterprise holding and manages commercial properties, and is also the only business platform under Wanda Group for the investment and operation of commercial properties. As of 2018, the company has opened 280 Wanda Plazas all over China including Wanda Plaza in Beijing’s CBD, Shanghai’s Wujiaochang, Chengdu’s Jin Niu and Kunming’s Xishan, with a property area size of 45.87 million square meters held and managed by it, and an annual passenger flow of 3.8 billion people. The rent collection rate for 13 consecutive years has exceeded 99.5%, which sets a world industry record. The company has consecutively held 11 Wanda business annual meetings, which are world-leading online and offline business events.
As the legal advisor of this special offering plan, JunHe participated in the whole process of this project including the amendment of transaction documents, the preparation of notification documents, the issuance of legal opinions and the offering. JunHe provided overall legal services for this project, which ensured the scheduled progress of this project and won the favorable market window of offering. The securities were issued successfully. JunHe’s team were highly recognized and praised by investors, which included leading institutions such as ICBC, Minsheng Bank, Pufa Bank, Guangfa Bank, CITIC Securities, China International Capital Corporation Limited, Bohai Securities and Hongde Fund.