Infrastructure and property concern Wai Kee Holdings plans to invest $50 million in the Chinese-medicine business in the mainland as part of a diversification programme, according to chairman William Zen Wei-pau. Wai Kee, through its 49.9 per cent-owned subsidiary Road King Infrastructure, would acquire three Chinese-medicine factories in Beijing, Shanghai and Guangdong province, he said. The Beijing acquisition was expected to be completed soon. Mr Zen was speaking yesterday after a $1.73 billion loan-signing ceremony for a Private Sector Participation Scheme (PSPS) at Hunghom. Wai Kee also was interested in bidding for infrastructure contracts to be offered by the Government next month for the development of the Disney theme park at Penny's Bay, Lantau Island, he said. Mr Zen refused to disclose details of the proposed spin-off of the company's construction arm, Zen Pacific. The planned listing on the Hong Kong stock exchange is scheduled for the first quarter of next year. Sponsors for the separate listing had been appointed, he said. Wai Kee had contracts on hand worth $15 billion, of which $9 billion were under construction. It had cash reserves of about $200 million. The PSPS residential development in Hunghom, awarded to Wai Kee's wholly owned subsidiary First Start Development, comprises 2,470 units in seven blocks and 494 car-parking spaces. The term-loan facility, fully guaranteed by Wai Kee, will be used to settle a $583 million land premium to the Government and the construction cost of the PSPS project. ACQUISITIONS
