When Baloo first entered the city, Wan Lo seemed to greet him with open arms. Wan Lo showed Baloo around the city, and his people offered Baloo every courtesy imaginable. But despite their generosity, the Pandas acted somehow cautious and reserved, as if they were harboring some secret. When Baloo headed home for Cape Suzette, the city followed him back home.
It was then that the true nature of Wan Lo and his people was revealed when the city was spotted and took out Cape Suzette's cliff guns and defense squadron. Baloo was blamed for the invasion and decided to set right what had once gone wrong. When Baloo confronted Wan Lo again, the emperor's guards captured him and threatened to drop him to his doom. Wan Lo told Baloo that his people lived where they conquered, and that he had no need for any friends.
Baloo eventually managed to turn the tides by using Panda-La's own weaponry against them. The last that was ever seen of Wan Lo was that he escaped with his three children. Because of this, his fate remains unknown, as is the fate of his people.