EcoWorld and PowerChina Partner for Infrastructure Development in Malaysia

July 2019

Eco World Development Group Berhad and PowerChina Group are collaborating on two large industrial and Infrastructure projects. The move is said to strengthen bilateral relationships between Malaysia and China and open doors for potential industrialists seeking to enter the Malaysian Market.

Eco World Development Group is a public listed Malaysian company involved mainly in property development. PowerChina places 182nd in Fortune’s Global 500 companies in 2018, and is a well-known integrated construction group offering engineering and construction solutions. Recently the company announced its plans to build its Asian headquarters in Kuala Lumpur, to cover its entire regional operations.

The first project is a conditional joint venture, “Eco World PowerChina Business Park Sdn Bhd” to jointly develop 117.35 acres of industrial land. Located at Puncak Alam, Shah Alam, the land’s estimated gross development value is MYR 850 million (USD 206.84 mil). The land will be developed into medium to large individual lots for light industries like warehousing, logistics, assembly and disassembly, fabricating, Manufacturing, repairing and materials processing. The Joint Venture will be 60% owned by PowerChina through its Malaysian incorporated subsidiary and 40% owned by Paragon Pinnacle Sdn Bhd, EcoWorld Malaysia’s subsidiary. The proposed name for the project will be Eco Business Park V, Phase 2, complementing the existing 518 acre Eco Business Park V, EcoWorld’s first business park in the Klang Valley.

The second project involves a Memorandum of Understanding (MoU) between the two companies to jointly bid on Malaysian Infrastructure projects.

Predominantly known as a property developer, the partnership would mean EcoWorld’s first direct involvement in this type of bidding. Although the president and CEO of EcoWorld did not specify the projects the companies would be bidding on, he emphasized high value added Infrastructure and technology transfer between the two companies.

(Sources: Free Malaysia Today; The Edge Markets; The Star)

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