South Korea's apparel brand Eland recently signed an agreement with China's Wanda Group to establish a tourism joint venture in South Korea.
This is reportedly the first cooperating result of the two parties since they signed their leisure industry investment agreement in June 2014.
According to the agreement, Eland and Wanda will each hold a 50% stake in the tourism JV and they will each account for half of the board of directors. However, Eland will be responsible for the operation of the JV. The two parties are expected to agree on actual processes, including deciding on a corporate name, in March 2016 at the latest.
A representative from Eland said that by combining Eland's diversity with Wanda's online advantage in China, the two parties will achieve better results. Wanda Group operates in various industries such as department stores, hotels, real estate, and tourism in China. By cooperating with Wanda, Eland plans to transfer its major business from fashion to logistics.