MUMBAI: The Walt Disney Company and Shanghai Shendi Group, its joint venture
partner in China, will open the Shanghai Disney Resort following approval from the
Chinese central government, in Beijing. Both companies marked the start of construction on the first Disney resort in mainland China.
 
The Walt Disney Company president and CEO Robert A. Iger said, “Today marks a significant milestone in the history of The Walt Disney Company.Our Shanghai resort will be a world-class family vacation destination that combines classic Disney characters and storytelling with the uniqueness and beauty of China. Working with our Chinese partners, the Shanghai Disney Resort will be both authentically Disney and distinctly Chinese.”
 
“We’re incredibly excited to build a Disney resort in Shanghai, one of the world’s most vibrant cities, “said Walt Disney Parks and Resorts chairman Thomas O. Staggs. “We are hard at work designing Shanghai Disneyland, which when complete will be a special place where guests of all ages will discover a world of imagination, creativity, adventure and thrills.”
 
There will be an initial investment in the project of approximately 24.5 billion yuan (US$3.7 billion) to build the theme park and an additional 4.5 billion yuan (US$0.7 billion) to build the other aspects of the resort, including the hotels and the retail, dining and entertainment area. The investment amounts will be split between Disney and the Shanghai Shendi Group with Disney holding 43% of the shares of the owner companies and the Shanghai Shendi Group holding the remaining 57%. Financing will be proportional to ownership. In addition, a joint venture management company will be formed with Disney having a 70% stake and Shanghai Shendi Group having a 30% stake. The management company will be responsible for creating, developing and operating the resort.
 
The new Shanghai Disney Resort is slated to open in approximately five years.