AECOM and Fosun subsidiary establish joint venture
SHANGHAI, May 25, 2018
AECOM, a premier, fully integrated global infrastructure firm, announced today it has signed an agreement with Sunvision Holdings Inc. (Sunvision), a subsidiary of Shanghai-based Fosun, one of China’s largest investment conglomerates, for the establishment of a joint venture company focused on developing Transit Oriented Development (TOD) project opportunities.
In September 2017, Fosun signed China’s first public-private-partnership agreement for a high-speed rail project, the 269 km Hangzhou-Shaoxing-Taizhou line in China’s densely populated eastern region. The line is estimated to cost 44.9 billion RMB and is scheduled for completion in 2021. By 2030, China’s high-speed rail infrastructure is expected to double to 45,000 km, making it the most extensive such network in the world. This massive investment is being complemented by more than 40 additional subway and metro rail systems planned and/or currently under construction (Source: Xinhua News Agency).
“China’s high-speed, long distance and metro rail investment significantly raises the demand for rail-oriented TOD projects. Our joint venture with Sunvision brings together complementary strengths to deliver infrastructure that will both enhance convenience and work well with the natural and built environment. We also look forward to deploying AECOM’s global network and integrated design, build, finance and operate offerings for further international project cooperation with Fosun,” said Sean Chiao, President, Asia Pacific, AECOM.
“The strategic alliance between our subsidiary, Sunvision, and AECOM brings together two strong brands and positive synergy for the future development of this joint venture company. Aligning our diversified and highly complementary resources will facilitate vertical cooperation between upstream and downstream industries. As part of Fosun’s investment strategy of ‘Combining China’s Growth Momentum with Global Resources,’ we are confident this joint venture will deliver efficient, world-class infrastructure to our home customers,” said Wen Xiaodong, Fosun Global Partner and Chairman & CEO of Fosun Infrastructure Group.
AECOM has delivered numerous pioneering TOD projects throughout Asia, including a large number of the new towns and developments in Hong Kong that have provided high-speed mass transit and roadway infrastructure that connects and complements other critical components such as industrial, commercial, residential and public services. Its participation in mega infrastructures around the world has included topside development in the reconstruction of the World Trade Center in New York; the Crossrail (Elizabeth Line) in London; and the West Kowloon Terminus of Express Rail Link in Hong Kong. The company was also selected by the U.S. space exploration technology company (SpaceX) to develop Hyperloop high-speed rail test tracks.
According to the strategic cooperation framework agreement signed by the two parties, the joint venture company will form a special team after the establishment to actively integrate the business resources of both parties in Greater China and kick off collaboration on several project opportunities in the pipeline.
AECOM is built to deliver a better world. We design, build, finance and operate infrastructure assets for governments, businesses and organizations in more than 150 countries. As a fully integrated firm, we connect knowledge and experience across our global network of experts to help clients solve their most complex challenges. From high-performance buildings and infrastructure, to resilient communities and environments, to stable and secure nations, our work is transformative, differentiated and vital. A Fortune 500 firm, AECOM had revenue of approximately $18.2 billion during fiscal year 2017.
Founded in 1992, Fosun is a family-focused multinational company. Fosun International Limited has been listed on the main board of the Hong Kong Stock Exchange since 2007. Fosun’s current total assets exceed RMB530 billion. With its roots in China, and through technology and innovation, Fosun’s mission is to create customer-to-maker (C2M) ecosystems in health, happiness and wealth, providing high-quality products and services for families around the world.