Malaysia's Sunway enters China property scene

(Xinhua)
Updated: 2008-07-01 14:28

KUALA LUMPUR -- Malaysia's Sunway Holdings Bhd is to undertake a resort-style development in Jiangyin with a potential gross development value of 473 million ringgit (US$145 million), its first property venture in China, local media reported on Tuesday.

The project will be developed with the Shanghai Guang Hao Real Estate Development Group Co. Ltd through a joint venture called the Jiangyin Guang Hao Real Estate Development Co. Ltd.

Sunway, through the Hong Kong-incorporated Sunway Real Estate (China) Ltd, will own 65 percent, or 130 million shares, of the joint venture.

"This is expected to be the pioneering project for Sunway to secure future possible property projects in China," it said in an announcement here on Tuesday.

Jiangyin Guanghao's registered capital is being increased to 200 million shares of one yuan (US$0.14) each, from 70 million shares of one yuan (US$0.14) each.

Sunway Real Estate sealed a master agreement and an equity joint-venture pact with Shanghai Guanghao last Friday.

The project is located inside the central business district of the Jiangyin New Harbour City, a new Jiangyin Government administration center, Sunway said.

"The project seeks to be differentiated by introducing ultra- modern resort-style living design concepts and international quality standards with a well-planned premium product," the New Straits Times quoted it as saying.