Hong Kong rail operator MTR said to raise loan to HK$25b
[HONG KONG] Hong Kong railway operator MTR Corp increased the size of a two-part loan to about HK$25 billion (S$4.4 billion), after the city gave the green light for it to resume construction on a high-speed rail link to China earlier this year, people familiar with the matter said.
MTR, three-quarters owned by the government, lifted the size of its dual-tranche loan from HK$15 billion after more than 20 banks committed to the financing, according to people familiar with the matter, who aren't authorised to speak publicly and asked not to be identified.
The company won approval in March for the project to connect Hong Kong to Shenzhen and Guangzhou in southern China, after criticism for budget overruns and missed completion targets. MTR plans to raise fares by an average 2.65 per cent from June 26 and will further set aside HK$140 million for station facilities improvement projects, it said last month.
There was no immediate response after a person who answered the phone at the company took a message. There was also no immediate reply to an e-mail seeking comment.
Besides the Hong Kong subway system and other services in the city, MTR runs rail systems in cities including Beijing, Melbourne and Stockholm.
BLOOMBERG
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Transport & Logistics
Hyundai Motor plans to add hybrids to US plant within current investment
Boeing cargo plane lands in Istanbul without front landing gear, no casualties
Uber shares tumble on surprise net loss, weak second-quarter forecast
New law increases control of ownership, management of critical transport firms in Singapore
Premium for big car COEs tops S$105,000 while that for mainstream cars hovers below S$95,000
Toyota sees 20% full-year profit decline after blockbuster Q4