Wanda Group Files Prospectus for $2.2 Billion Investment in Premium Private Hospitals in China

Wanda Group, which has aggressively expanded into the film, television, and sports sectors, has finally entered the healthcare industry with an initial investment of RMB 15 billion.

On January 6, Wanda Group and International Hospitals Group Limited (IHG) signed a cooperation agreement in Beijing. Wanda will invest a total of RMB 15 billion to build three comprehensive international hospitals in Shanghai, Chengdu, and Qingdao. These hospitals will be operated and managed by IHG under the IHG brand, known in Chinese as “Yinci Wanda International Hospital.”

This marks the largest investment by a Chinese enterprise in the healthcare sector, as well as IHG’s first hospital management and operation project in China.

It is understood that IHG is a leading global international healthcare group. Established in 1978 and headquartered in the United Kingdom, it manages more than 450 healthcare projects in over 50 countries worldwide. Its clients include the governments of 22 countries, the United Nations, the World Bank, and high-end clientele across the globe.

Construction Progress

In terms of hospital operations, IHG, Wanda Group’s partner, will ensure that the three hospitals obtain accreditation from international healthcare organizations such as the Joint Commission International (JCI). It will appoint world-class foreign experts as hospital presidents and staff the facilities with a certain proportion of highly qualified foreign physicians and professional medical teams, thereby achieving the clinical standards and operational excellence of premier international hospitals.

Among them, Shanghai Yingci Wanda International Hospital will invest 8 billion yuan, with 1,000 beds. It is scheduled to commence construction within 2016, and the site selection has not yet been finalized.

Chengdu Yingci Wanda International Hospital, with an investment of RMB 5 billion and a capacity of 500 beds, is located in the Qinhuangsi Central Business District of Tianfu New Area. Covering an area of 500 mu, construction commenced in the first quarter of 2016.

Qingdao Yingci Wanda International Hospital, with an investment of RMB 2 billion and 200 beds, has commenced construction in the Oriental Movie Metropolis in Qingdao and is scheduled to open in July 2018.

Significance: Aligning Global Resources with China’s Needs

Chester King, Chairman of IHG’s Asia Region, stated that Wanda Group is China’s most respected and capable private enterprise. Partnering with Wanda will help IHG rapidly enter the booming Chinese healthcare market. IHG will bring its proven hospital management methodologies and extensive experience to China, striving to establish a benchmark for international hospitals and contributing to economic and trade exchanges between China and the United Kingdom.

Wang Jianlin, Chairman of Wanda Group, pointed out that the introduction of top-tier comprehensive international hospitals represents an innovation by Wanda in China. This initiative not only meets the healthcare needs of high-end clientele but also elevates the local medical standards to world-class levels, thereby driving the overall advancement of premium healthcare services in China.

The significance of the partnership between Wanda Group and IHG lies in its effective alignment of global premium medical resources with China’s rapidly upgrading healthcare demands, which may have a profound impact on markets such as high-end domestic healthcare and overseas medical services in the coming years.