Anhui Expressway (00995) announced that the company has joined the S19 consortium, led by Anhui Transportation Holding Group, and, together with Jiaokong Engineering, Jiaokong Construction, Jiaokong Information Industry, and Xunjie Logistics, participated in the public tender for the "S19 Project," the concession operator project for the Shucheng to Tongcheng section of the S19 Huainan to Tongcheng Expressway. As of the date of this announcement, the consortium has received the project award confirmation letter.
The winning bid amount is approximately 7.237 billion yuan, with a construction period of 1,080 days and a concession toll collection period of 354 months. Following receipt of the award confirmation, the company intends to establish an S19 joint venture company with the other members of the S19 consortium to implement the S19 Project, subject to the execution of a formal investment agreement.
The S19 Huainan to Tongcheng Expressway's Shucheng to Tongcheng section is a project promoted by the Lu'an Municipal People's Government and will be constructed using a Build-Operate-Transfer (BOT) concession model. The section starts at the boundary of Lu'an and Hefei, connecting to the endpoint of the S19 Huai-Tong Expressway's Hefei section, and ends at Longtou Village, Daguan Town, Tongcheng City, linking with the Hefei to Zongyang section of the De-Shang Expressway. It traverses Shucheng County in Lu'an City and Tongcheng City in Anqing City, spanning approximately 44.07 kilometers.
The construction period for the S19 Project is estimated to be about three years, with work expected to commence in 2026 and be completed by 2029. The total investment for the S19 Project is anticipated to be 7.237 billion yuan. The consortium's total capital contribution to the S19 joint venture company will be 1.447 billion yuan. The breakdown is as follows: Anhui Transportation Holding Group will contribute 1.23036 billion yuan in cash for an 85% stake; Anhui Expressway will contribute 144.75 million yuan in cash for a 10% stake; Jiaokong Engineering will contribute 43.42 million yuan in cash for a 3% stake; Jiaokong Construction will contribute 14.47 million yuan in cash for a 1% stake; Jiaokong Information Industry will contribute 7.24 million yuan in cash for a 0.5% stake; and Xunjie Logistics will contribute 7.24 million yuan in cash for a 0.5% stake.
The Shucheng to Tongcheng section of the S19 Huainan to Tongcheng Expressway is a vital link connecting the S19 Huainan section, the Hefei section, and the He-Zong Expressway. Establishing the S19 joint venture company with other consortium members will enable Anhui Expressway to participate in the S19 Project.
Through its involvement in the S19 Project, the company will further expand and enhance its expressway business portfolio, improve regional transportation capacity, boost its overall profitability, and strengthen its competitiveness within the regional road network. Participation in the S19 Project will also allow the company to leverage its experience and advantages in toll road operation, continuously optimizing its expressway asset layout, which aligns with the company's development strategy.