Midas Holdings JV firm bags lucrative RMB710m metro contract

Contract to supply 104 train cars.

Singapore-listed Midas Holdings Limited (Midas) announced that its joint venture company, Nanjing SR Puzhen Rail Transport Co., Ltd. (NPRT) has won a RMB710 million metro contract awarded by Nanjing Metro Company Limited for the supply of 26 train sets (1 train set = 4 train cars), or 104 train cars, for the Ningtian Intercity Line Phase 1, delivery is slated to take place from 2014 to 2015.

This contract is expected to contribute positively to the Group’s financial performance for the 2014 and 2015 financial years.

The Ningtian Intercity Rail Line (also referred to as Nanjing Metro Line 11) is an approximately 45km long intercity metro line with 17 stations, connecting from Nanjing’s Liuhe District to Pukou District, and is slated for completion ahead of the 2014 Youth Olympic Games in Nanjing.

Commenting on NPRT’s latest contract win, Mr Patrick Chew, CEO of Midas, said, “NPRT has made a good start to the year, securing two contracts over the past four weeks to boost its project portfolio by over RMB1.0 billion. We are encouraged by these positive developments and remain optimistic of continued opportunities from the PRC rail transportation industry in the years ahead.”

Midas has a 32.5% equity stake in NPRT, a Sino-foreign joint venture, engaged in the development, manufacture and sale of metro trains, bogies and their related parts.