In a recent interview with The Beijing News, Wanda Group Chairman Wang Jianlin reassured that the group has no so-called capital chain crisis.

Data shows that Wanda invested in nearly 40 projects this year with a total investment value of above 200 billion yuan. The group has announced on June 19 to buy a majority shareholding in Britain’s luxury motor yacht manufacturer Sunseeker and develop a real estate project in Central London. The two projects will cost the group around GBP1 billion. Last year, Wanda purchased American cinema line AMC's entire stake and inherited its debt with $2.6 billion under an agreement signed last May.

As the group expanded quickly both in and out of China in recent years, some questioned about the source of its money and assumed there was a big problem in its capital chain.

"Actually Wanda doesn’t have to pay all the money. Among the GBP1 billion UK investments, we only provide a half of them and get the other half by financing,” Wang told the newspaper, adding that the $2.6 billion for purchasing AMC comprises $700 million investment from Wanda and $1.9 billion debts of AMC.

According to him, the registered capital for a project is around 3 to 4 billion yuan, including land acquisition cost and a startup capital of 800 million to 1 billion yuan. Wanda only pays for 35-40% of the total, get 30% from the bank loan and the rest is from the presale capital.

"Furthermore, we don’t pay all the money at once,” he went on to explain that many projects last for years, a duration long enough for Wanda to finish the payments.