Vivendi Universal to announce theme park in Shanghai: report.
HONG KONG Hong Kong (hŏng kŏng), Mandarin Xianggang, special administrative region of China, formerly a British crown colony (2005 est. pop. 6,899,000), land area 422 sq mi (1,092 sq km), adjacent to Guangdong prov. , Dec. 6 Kyodo
A subsidiary of media and entertainment giant Vivendi Universal SA of France will announce a deal Saturday to build an amusement park amusement park, a commercially operated park offering various forms of entertainment, such as arcade games, carousels, roller coasters, and performers, as well as food, drink, and souvenirs. in Shanghai Shanghai (shăng`hī`, shäng`hī`), city (1994 est. pop. 12,980,000), in, but independent of, Jiangsu prov., E China, on the Huangpu (Whangpoo) River where it flows into the Chang (Yangtze) estuary. , the Asian Wall Street Journal said Friday.
The $870 million deal will be reached between Universal Parks & Resorts and two Chinese partners, the municipally owned Waigaoqiao Group Co. and Shanghai Jinjiang (Group) Holding Co., the newspaper said.
The planned park could open as soon as 2006 and will be located in a 2-square-kilometer site in the booming Chinese coastal city's Pudong development zone.
An official at Waigaoqiao was quoted as saying the two Chinese partners will hold a majority of the equity in the project.
Universal's investment is likely to be less than $100 million, though it probably would end up with an ownership stake of about one-third, the newspaper reported.
As in its other overseas theme-park ventures, Universal is likely to receive management fees once the facility is up and running, it added.
The agreement will give Universal a head start in the theme-park race in Shanghai.
Walt Disney Noun 1. Walt Disney - United States film maker who pioneered animated cartoons and created such characters as Mickey Mouse and Donald Duck; founded Disneyland (1901-1966)
Disney, Walter Elias Disney Co. has been negotiating with the city's government about a park project as well, the newspaper said, but Disney, which is building a theme park in Hong Kong, has refused to confirm news reports that it has signed a letter of intent to build a park in Shanghai.
Fast-growing Shanghai is one of the most popular cities for foreign investments in China.
The city was also named the site of the 2010 World Expo earlier this week.