China's Dalian Wanda group to develop $10-bn Industrial park in Haryana
22 Jan 2016
Billionaire Wang Jianlin's Dalian Wanda Group Co plans to develop a $10-billion project to develop an industrial park in Haryana, in what could be one of the biggest development projects in India.
Wanda Group, China's biggest commercial-property developer, has signed a preliminary agreement with the northern Indian state of Haryana to build an industrial zone, the company said in a statement today.
The first phase of `Wanda Industrial New City,' whose construction may begin this year, will span 13 square kilometers and house companies in industries ranging from software to cars and healthcare, it said.
The project, when completed, would be the first major victory for Prime Minister Narendra Modi's efforts to attract foreign capital for the country's development. It would also be the biggest foreign investments in India.
Wanda will be the lead investor, investing mostly in the initial infrastructure and the company hopes to attract Chinese and other international companies to participate and set up operations, according to the statement.
The agreement is the result of talks between Wang, Modi and Haryana state chief minister Manohar Lal Khattar that began in June 2015, according to the statement.
Construction on the first phase of the 13 square km park in Haryana state is due to start this year, the company said.
"Haryana State will provide Wanda with the most preferential policies," it added in a statement.
Dalian Wanda is aggressively spending on projects and acquisitions ranging from entertainment to financial services in a bid to diversify away from its core, but slowing, domestic real estate operations.
The conglomerate which posted $44 billion in revenue last year has said it wants more than a third of its revenue to come from abroad by 2020.
A ''Wanda Cultural Tourism City'' and a residential district may also be developed as part of the project, according to the statement.
It's been a busy month for Wang, whose sprawling business ranges from property to malls, entertainment and finance. In January alone, Wanda Group announced it will invest $2.3 billion to build three hospitals in China, it agreed to buy "Godzilla"-producer Legendary Entertainment for $3.5 billion and announced the formation of a financial group as part of a reorganization of his empire.