Property developer Wang Jianlin has leapfrogged drinks magnate Zong Qinghou to the degree of $3.2 billion to become China’s richest person, Bloomberg reports.
The Bloomberg Billionaires Index values closely held companies by comparing some multiples, such as the enterprise value-to-Ebitda or price-to-earnings multiples of similar public companies. When ownership of closely held assets cannot be verified, they aren’t included in the calculations.
In Wang’s prior net worth calculation, the Bloomberg ranking valued Dalian Wanda as one company, using multiples of four publicly traded Chinese developers. An analysis of regulatory filings and financial results for the year ended June 30 provided metrics to value the retail and entertainment subsidiaries of Dalian Wanda.
While this is good news for anyone bored of having Zong Qinghou — who is kind of a dick — as the nation’s premier rich person, Bloomberg’s admission that they’re kind of sort of just making this stuff up is even better news for those of us who question the merit of these lists altogether.
[Image via Wikipedia]