Wanda pulls out of London deal

Chinese conglomerate Dalian Wanda has pulled out of plans to buy part of the Nine Elms Square site in central London, which comes hot on the heels of the Chinese government's latest rules on investment in overseas deals.

The company said it has transferred its interest in the 470-million-pound ($603 million) development to Hong Kong-listed R&F Properties and CC Land.

Under the new rules issued by the State Council on Friday, investments in property, hotel, film, entertainment and sports are restricted. The policy came as the government increased scrutiny of overseas investment and reined in speculative deals by Chinese companies in some industries and sectors, such as equity investment funds, and the defense sector.