Ascendas, China state-owned firm sign joint venture deal

Business space solutions provider Ascendas Group said yesterday that it has signed a joint venture agreement with China's state-owned industrial and trading enterprise, China Machinery Engineering Corporation (CMEC), to partner in industrial and business park investments and developments across Asia.

Under the joint venture, Ascendas and CMEC will establish a collaboration framework for these investments, as both companies jointly explore opportunities in key Asian countries under China's One Belt One Road initiative.

The countries include China, India, Vietnam, Indonesia and Malaysia.

Ascendas said the partnership enables it to leverage CMEC's extensive network of Chinese companies to widen its customer base for business space solutions in Asia. CMEC, in turn, can capitalise on Ascendas' expertise and regional presence, to assist Chinese companies venturing beyond China, the Singapore company said.

The partners will also jointly explore opportunities to co-develop industrial and business parks in these markets to serve the needs of international corporations and Chinese companies venturing overseas.

Said Mr Manohar Khiatani, president and group chief executive officer of Ascendas: "Ascendas' partnership with CMEC epitomises our deepening of relations with Chinese enterprises, as we work hand-in-hand with our partners to explore growth opportunities within China as well as in the region."

Said Mr Zhang Chun, CMEC executive director and president: "We look forward to a mutually beneficial partnership with Ascendas that will create value, extend market reach and open up growth opportunities for Chinese corporations in Asia."

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A version of this article appeared in the print edition of The Straits Times on November 10, 2015, with the headline Ascendas, China state-owned firm sign joint venture deal. Subscribe