NWI New World Infrastructure's (NWI) HK$1 billion electricity and water supply investment in Macau is expected to generate annual returns of between 15 and 18 per cent, analysts say. The infrastructure firm has agreed to acquire Chow Tai Fook Enterprises' 50 per cent stake in Sino-French Holdings (Hong Kong), which has major stakes in the electricity and water supply monopolies in Macau. Sino-French Holdings also owns five water plants in various cities in China including Shenyang, Chongqing and Dongguan. Chow Tai Fook is controlled by the family of Cheng Yu-tung, the largest shareholder in New World Development, NWI's parent. Analysts said total investment in the deal would be HK$1 billion, financed by a US$600 million syndicated loan, arranged by the company last month. The acquisition came a week after NWI's director So Ngok unveiled a series of infrastructure investments including the purchase of a controlling stake in a container terminal in Guangxi, four toll roads and a toll bridge in Tianjin, plus various road projects in Sichuan. Andrew Look, a portfolio manager at Prudential Portfolio Management, said he was optimistic about the infrastructure investments, but some analysts warned NWI had been too aggressive in expanding its infrastructure portfolio.