Midas Holdings' JV company clinches two train deals worth $230.3m

Midas Holdings, which makes aluminium alloy extruded products for China's railways, said on Monday its joint venture company has secured two contracts worth a total of 1.1 billion yuan (S$230.3 million).

Nanjing SR Puzhen Rail Transport Co (NPRT), in which Midas owns a 32.5 per cent stake, has been asked to supply 17 train sets - or 85 train cars in total - for the Suzhou Rail Transit Line 2 Extension.

It will also supply 13 additional train sets, equivalent to 78 additional train cars, to Nanjing Metro Line 1.

The train sets are slated for delivery between next year and 2016, and are expected to contribute positively to Midas' financial performance for those years.

"We are delighted that NPRT has ushered in a strong start to 2014 with contracts worth 1.11 billion yuan, underscoring the continued health of (China's) metro train sector," said Midas' chief executive officer Patrick Chew.

"As an established market player, NPRT is well-positioned to capture and benefit from this healthy growth. We are optimistic that NPRT will continue to contribute to our performance and growth."

Midas has a primary listing on the Singapore Exchange mainboard and a secondary listing on the Stock Exchange of Hong Kong mainboard.

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