KUALA LUMPUR (March 10): Ranhill Holdings Bhd, en route for listing on the Main Market of Bursa Malaysia on March 16, said its unit Ranhill (Yongxin) Water Co Ltd will invest RMB50 million (RM31.5 million) to build a 10 million litre per day (MLD) wastewater treatment plant in Yongxin County Industrial Development Zone, Jian City, Jiangxi Province, China.

In a filing with Bursa Malaysia today, Ranhill said Ranhill Yongxin, a special purpose vehicle set up by its sub-subsidiary Ranhill Water (Hong Kong) Ltd, had on March 9 entered into a public-private partnership (PPP) concession agreement with the Yongxin County Industrial Development Zone Management Council to undertake the proposed project.

Under the deal, Ranhill Yongxin will transfer the wastewater treatment plant back to the designated parties by the end of the 29-year concession period, which excludes the 16 months of construction period.

"During the concession period, Ranhill Yongxin will have the right to collect wastewater service fees; and the possession right and right to use the project land," said Ranhill.

"Barring any unforeseen circumstances, the board of directors is of the view that the project will contribute positively to the future earnings of the group. The project (also) augurs well with the group's expansion plan into the industrial wastewater business in China," it added.