SHENZHEN, Aug. 29  -- Chinese property giant Dalian Wanda Group on Friday announced that it will set up an e-commerce joint venture with two of the country's leading IT companies, Baidu and Tencent.

The preliminary investment will be 5 billion yuan (819.67 million U.S. dollars), and total investment will reach 20 billion yuan in five years, said Wang Jianlin, chairman of Wanda, at a contract signing ceremony.

Wanda will hold a 70-percent stake, while Baidu and Tencent will each hold 15 percent.

The e-commerce company will be registered in Hong Kong. After a test run this year, its online services will be formally launched next year.