Wanda Hotel Development Co. Ltd. said its controlling shareholder Wanda Commercial Properties Overseas Ltd. will not transfer its approximately 65.04% stake in the Hong Kong developer to a wholly owned subsidiary of Wang Jianlin, chairman of Dalian Wanda Group Co. Ltd.

Wanda Commercial and the new Wanda Investment Holding Co. Ltd. mutually agreed to not move forward with the roughly HK$3.67 billion deal, for which no definitive sale and purchase agreement was signed, according to a release.

The stake transfer was meant to be a part of the Dalian Wanda group's ongoing reorganization of its hospitality business. Wanda Hotel's ultimate controlling shareholder, meanwhile, would have remained the same post transfer.