Midas Secures RMB62 Million Contract From CNR Changchun

Midas Holdings Limited
2011-06-10 03:53 1033
  • To supply aluminium alloy extrusion profiles for 41 train sets (246 train cars) to Shanghai Metro Line 12 Project
  • Delivery from 2011 to 2013

SINGAPORE and HONG KONG, June 10, 2011 /PRNewswire-Asia/ -- Midas Holdings Limited ("Midas" or the "Company", together with its subsidiaries, (the "Group"; SGX-ST stock code: 5EN; SEHK stock code: 1021) today announced that its Aluminium Alloy Division, Jilin Midas Aluminium Industries Co., Ltd ("Jilin Midas") has secured a RMB62 million contract from CNR Changchun Railway Vehicles Co., Ltd ("CNR Changchun") for the Shanghai Metro Line 12 Project.

Under the terms of the contract, Jilin Midas will supply aluminium alloy extrusion profiles for 41 train sets, or 246 train cars (1 train set = 6 train cars), with delivery expected to take place from 2011 to 2013.

Mr Patrick Chew, CEO of Midas, said, "We are delighted to have the opportunity to work on the Shanghai Metro Line 12 Project with CNR Changchun. Since 2003, we have worked on several projects to supply aluminium alloy extrusion profiles for metro train cars serving the Shanghai metro system. This latest contract reflects the confidence of our customers in our quality products and services and will further enhance the Group's solid track record."

"Rapid urbanization and economic growth in the PRC have resulted in first-tier cities as well as second-tier and provincial cities to upgrade existing metro networks and construct new lines. We are optimistic that Jilin Midas, with our strong brand name and reputation, will benefit from the resultant increasing demand in train cars."

This contract is expected to have a positive impact on the Group's financials for the financial years ending December 31, 2011 to 2013.

About Midas Holdings Limited

Founded in 2000, Midas is today the leading manufacturer of aluminium alloy extrusion products for the passenger rail transportation sector in the PRC. Over the years, Midas has built an established track record in supplying to the PRC passenger rail transportation sector, which includes participation in landmark contracts such as trains for the Beijing-Tianjin High Speed Train Project, and inter-city high speed trains for the CRH3-380 Project. Midas' customers include domestic PRC licensed train manufacturers from China South Locomotive & Rolling Stock Corporation Limited ("CSR") and China CNR Corporation Limited ("CNR"), as well as international customers such as Alstom Transport ("Alstom"), Siemens AG ("Siemens") and Bombardier Transportation.

Midas has a strategic 32.5% stake investment in Nanjing SR Puzhen Rail Transport Co., Ltd ("NPRT"), an associate company engaged in the development, manufacturing and sale of metro trains, bogies and their related parts. NPRT is one of the four Licensed Metro Manufacturers licensed to undertake metro train projects on a nationwide basis in the PRC.

In recognition of its consistent growth and profitability, Midas is one of only six companies, and the only aluminium alloy extrusion products manufacturer, in Asia to be included in Forbes Asia's "Best Under A Billion" list for four consecutive years from 2006 to 2009. The Company was also awarded the "Best Investor Relations Award (Gold)" at the Singapore Corporate Awards 2010 in the "S$300 million to less than S$1 billion market capitalisation" category. As testament to its strong brand name and reputation in the PRC, Midas was conferred the prestigious "China Well-Known Trademark" by the Trademark Office of the State Administration for Industry & Commerce of the PRC ("SAIC") in 2011.

Midas has a primary listing on the Mainboard of the Singapore Exchange Securities Trading Limited and a secondary listing on the Main Board of the Stock Exchange of Hong Kong Limited.

ISSUED ON BEHALF OF: Midas Holdings Limited
BY: Citigate Dewe Rogerson, i.MAGE Pte Ltd
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MEDIA / IR CONTACT: Ms Chia Hui Kheng / Ms Kelyn Tan
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IR CONTACT: Ms Michelle Lau
(Investor Relations Manager, Midas Holdings Limited)
PHONE: +852-3152-3278
Source: Midas Holdings Limited
Keywords: Transportation