Thursday, 5 June, 2014 8:38 AM
Posted by Kevin Scully
Midas announced last night that its 32.5% associate company Nanjing SR Puzhen Rail Transport Co., Ltd has won three contracts totalling RMB3.5bn. This award brings its total rail contracts in 2014 to more than RMB 4.5bn.
The three contracts are as follows:
a) RMB1.5 billion, was awarded by Suzhou Rail Transit Co., Ltd for completion in 2015 to 2017
b) RMB0.9 billion, was awarded by Hefei Urban Rail Transit Co., Ltd.for completion in 2015 to 2016
c) RMB1.1 billion, was awarded by Hangzhou Metro Group Co., Ltd. for completion in 2014 to 2017.
Commentary
Besides increasing Midas' order book, these three contracts are important as they are high speed contracts which have historically enjoyed better margins. In my earlier commentary about what would be needed for Midas to break the S$0....