HOI Sing Holdings subsidiary Hoi Sing Builders (HSB) has formed a joint venture to undertake a highway project in Xinhui, Guangdong. HSB will hold 65 per cent of the equity in the venture with the remainder to be owned by Xinhui Highway Construction Co. HSB will invest $95.78 million out of a total registered capital of $147.35 million. The company has been set up to undertake road projects in Xinhui with the first phase being a 10.19-kilometre stretch of highway, which should take 16 months from the start of work to completion. A side agreement to the deal is that the mainland partner can require HSB to pay its portion of the registered capital. In return, HSB will receive land rights along the highway project. Hoi Sing also announced it intends to raise its stake in HSB from 51 per cent to 75 per cent. Hoi Sing's minority partner in the company is Wing Shing Construction.
