It has been reported that China-based Fosun International has signed a loan contract for CNY28 billion (US$4.1 billion) with a consortium of banks to build the country’s first high-speed railway that is majority owned by a private company.
The rail line is planned to be 227km long and will be located in Zhejiang Province in eastern China. Trains will be able to travel on the line at 350km per hour.
The railway is expected to be completed in 2021 and will operate for 30 years. Fosun will own 51% of the project with the Zhejiang provincial government owning the rest.
According to the Xinhua News Agency, China Development Bank, Industrial and Commercial Bank of China, China Construction Bank, Agricultural Bank of China and two others will provide the loan for the project.
Fosun International is a multinational company listed on the Hong Kong stock exchange since 2007. As of the end of 2018, the company’s assets totalled more than US$93 billion.