Uncertainty remains over Dalian Wanda's IPO price

Despite opportune timing, China's diversified conglomerate Dalian Wanda Group is facing difficulties in securing a high valuation from institutional investors for the shares it is planning to offer for sale in Hong Kong.

To be sure, the latest interest rate cut, the first in two years, has pumped new life into the mainland property market. But analysts doubt if the magic of the relaxed monetary policy would rub off on Dalian Wanda's Hong Kong IPO.

"Investment sentiment has been largely revived by the central bank's rate cut, but institutional investors have remained cautious about the financial problems faced by many mainland property developers," said Kenny Tang Sing Hing, general manager of the securities and asset management business of AMTD Financial Planning, a subsidiary of Hong Kong-based Cheung Kong Group.