(Yicai Global) July 29 -- Chinese conglomerate Wanda Group has sold all of its remaining equity in the early childhood education business of Wanda Kids to optimize its asset portfolio.

Wanda sold the equity to Bosi Meibang Beijing Education Consulting and the name was changed to Khorgos Shirui Boyuan Education Technology, the Paper reported yesterday, without mentioning pricing details. The Dalian-based parent will hold onto the target firm's playground, and animation intellectual property assets.

The Covid-19 pandemic has been devastating for the country's K-12 education sector as all of Wanda Kids outlets have remained closed since February. By the end of 2018, Wanda Kids had more than 100 kindergartens in China and over 250 playgrounds.

Chairman Wang Jianlin, who used to be China's richest man, had once deemed that Wanda Kids would surpass Wanda Cinemas and become one of the conglomerate's core units.

Early education assets accrue high costs and need much work -- not just money -- to be cultivated and that doesn't fit Wanda's current trajectory of making its assets more agile, an analyst told the same news source.

Editor: Emmi Laine