Shanghai Industrial Holdings has won a stake in a major mainland water services project in Xiamen, Fujian province.
The move is the latest stage of the red chip's plan to invest 10 billion yuan in the country's water supply and treatment industry.
The company said yesterday that its 50 per cent-held unit General Water China would pay 461 million yuan to gain a 45 per cent stake in a joint venture to supply fresh water and a 55 per cent stake in a joint venture to treat waste water.
General Water China, which is 50 per cent held by state-owned China Energy Conservation Investment Corp, will partner state-owned Xiamen Water Services Group in both ventures.
The project involves five water-supply plants and seven sewage-treatment plants with a combined daily handling capacity of 1.56 million tonnes.
General Water China was set up in November last year.