How to beat the Wanda trade: Buy now to get ahead
The Wall Street Journal reported Friday that Wanda Group Holdings Ltd., the Chinese conglomerate behind the WannaCry ransomware attack, has offered to buy Wanda stock at a discount of between 1 and 3 percent.
The offer is part of a larger deal the company has struck with a U.S. private equity firm, Wanda Capital Partners LP, to purchase the company’s stake in Wanda Television Group Ltd.
The news came hours after the WSJ reported that WannaCrypt, the ransomware, had been identified as being carried by a Chinese-based cyberattacker, a claim that was contradicted by a report by cybersecurity company Symantec Inc.
The Wanda deal is the latest sign of the growing popularity of Chinese cyberattacks as a way to steal intellectual property and profits from Western companies, according to cybersecurity experts and other experts.
Wanda Group has long been known for its aggressive pursuit of intellectual property rights, which it has aggressively marketed and sold, often to the U.K. and U.N.
As Wanda’s cyberattack on the WNTR network increased, WannaCry was launched, which the WSJP said was designed to steal profits from the company.
The WSJ noted that the WNCN network used by Wanda has about $1.2 billion in annual revenue and was the second-largest U.U.S.-based provider of computer services.
The Wall Street.com article, citing a person familiar with the matter, said Wanda offered to sell its share in WNTV and WNCTV to Wanda at a price between 2 percent and 5 percent.
In addition, WNTC and WNTF are the three most valuable assets of the company, the WSJD reported.
The deal also includes a new joint venture with China’s Xinbao Technology Co. Ltd., a major IT-services provider in the Middle Kingdom, according the WSJC.
Xinbao, which is based in Shenzhen, China, has been accused by U.W. officials of having ties to the North Korean government, according a report from The Wall St. Journal in September.
The WSJ said that the deal was struck by Chinese state media and that the transaction would involve Wanda taking over WNCB’s operations and adding WNCS.WNCB is a popular streaming-media company with more than 40 million subscribers and more than 200,000 employees in the U, U.A., and U2 concerts.
The company said it is committed to providing all its customers with high-quality digital content, including music, movies, TV shows and games.
In a statement, WNCBC said the deal is subject to regulatory approvals.
It added that the company is in regular contact with the U-T San Diego-based Securities and Exchange Commission and other regulatory authorities.
The announcement comes a day after the New York Stock Exchange, which has been tracking WNCBs performance, reported that it had canceled its $7 billion deal to acquire the company for $8.3 billion.