Shenzhen Int'l (00152) announced that on December 2, 2024, its non-wholly-owned subsidiary Shenzhen National Railway...
According to the announcement from Shenzhen Int'l (00152), on December 2, 2024, the company's non-wholly-owned subsidiary Shenzhen National Railway Company signed a tripartite agreement with the project management institutions and the respective construction parties, which specifies (including) the payment obligations of Shenzhen National Railway Company related to the construction contracts established with the project management institutions and these construction parties. According to the tripartite agreement, Shenzhen National Railway Company must pay approximately RMB 1.596 billion and RMB 1.573 billion (totaling approximately RMB 3.169 billion, equivalent to about HKD 3.407 billion) in project costs to the respective construction parties for the construction above the slab of the Shenzhen Ping Hunan project through the project management institutions.
The project management institution is a subsidiary of the Guangzhou Railway Group. Guangzhou Railway Group has expertise and extensive experience in railroads and related construction projects, as well as rigorous construction procedures and management systems in railroad construction and passenger and freight transportation. The Shenzhen Ping Hunan project has high efficiency and quality requirements for project construction, and engaging Guangzhou Railway Group to provide project management services for the development of the Shenzhen Ping Hunan project while hiring professional construction parties ensures that the construction needs of the Shenzhen Ping Hunan project are met, and it allows the group to focus its resources on other aspects of the project.
The construction parties were hired through a public bidding process. These construction parties have been engaged in engineering construction business in China for many years and have rich experience in engineering construction. The contracting parties established this tripartite agreement to clarify the rights and obligations of each party further, which is essential for ensuring the smooth completion of the Shenzhen Ping Hunan project construction work. The parent companies of these construction parties are all china railway construction corporation, and their ultimate beneficial owner is the State-owned Assets Supervision and Administration Commission of the State Council.