About QILU EXPRESSWAY Company

Qilu Expressway Co., Ltd. is a highway operator in Shandong Province. It has a concession and is responsible for the construction, maintenance, operation and management of the Jihe Expressway. It has more than ten years of experience in the highway operation industry in China. The Jihe Expressway connects Jinan City to Heze City, with a total length of about 153.6 kilometers. It passes through four cities and nine districts and counties in Shandong Province. It lays out the “Connect 5” line and part of the “Vertical 8” line for the nine longitudinal, five-horizontal, one-ring, seven-connected expressway network in Shandong Province, and is also an important part of the G35 national highway, connecting the Bohai Rim Economic Zone and the Yangtze River Delta directly to the Pearl River Delta region. The company's history can be traced back to 2004, and its predecessor was Shandong Jihe Expressway Co., Ltd., which was established on January 6, 2004 in accordance with relevant Chinese laws. At the time of establishment of the company, two shareholders, Shandong Construction (then known as Shandong Luneng Infrastructure Investment Co., Ltd.) and the Shandong Provincial Highway Administration (then known as the Highway Administration of the Shandong Provincial Department of Transportation) held 60.00% and 40.00% of the shares respectively. In September 2010, after two capital increases, the Shandong Provincial Highway Administration and Shandong Construction (then known as Shandong Luneng Construction Group Co., Ltd.) held 91.90% and 8.10% of the shares respectively. In March 2011, Hong Kong's COSCO SHIPPING purchased 40.00% of the shares of Jihe Expressway Company from the Shandong Provincial Highway Administration. In December 2015, the shares held by the Shandong Provincial Highway Administration were transferred free of charge to Qilu Transportation Development Group Co., Ltd. On December 6, 2016, the company became a Sino-Foreign Joint Venture Co., Ltd., and changed its name to “Qilu Expressway Co., Ltd.”. The three sponsors, Qilu Transportation Development Group Co., Ltd., Hong Kong COSCO SHIPPING and Shenhua Guoneng Shandong Construction held 51.90%, 40.00% and 8.10% of the company's shares respectively. On July 19, 2018, Qilu Expressway Co., Ltd. was listed on the main board of the Hong Kong Stock Exchange, stock code: 01576.HK, becoming the first overseas listed company in the expressway sector in Shandong Province. The company headquarters has 10 departments: board office, general office, party and mass work department, human resources department, enterprise management department, financial management department, safety operation department, engineering maintenance department, information technology department, and audit and legal affairs department. It has 7 management offices in Changqing, Xiaoli, Pingyin, Pingyin South, Dongping, Liangshan, and Jiaxiang, 1 university town project office, and 1 emergency maintenance department. The company established a wholly-owned subsidiary, Shandong Shunguang Culture Media Co., Ltd., which is responsible for advertising services along the Jihe Expressway. Since its establishment, the company has successively received the following honors: the Provincial Transportation Key Project Merit Competition (2007), the “Eleventh Five-Year Plan” Advanced Unit in the Civilized Industry (2011), the “Eleventh Five-Year Plan” Outstanding Provincial Highway Maintenance and Management Group (2012), the “12th Five-Year Plan” National Highway Maintenance and Management Excellent Unit (2015), and the National Highway Traffic System “Model Team” (2015).