Troubled Chinese conglomerate Wanda announced Monday that e-commerce giant Alibaba has agreed to buy a stake in its cinema division for around $750 million, the latest sell-off by the heavily-indebted group. Wanda Film said in a regulatory filing that Alibaba will buy a 7.66 percent stake for 4.68 billion yuan, and a holding company controlled by the Beijing government will take 5.11 percent for 3.12 billion yuan (around $500 million), generating over $1.2 billion for the conglomerate.
Following rapid diversification, Wanda ended up mired in debt and under the scrutiny of Chinese regulators, forcing its head Wang Jianlin - once China's richest man - to sell off parts of his empire. Last month, it raised $5.4 billion through a stake sale and retail link-up with several investors, including Chinese internet giant Tencent.