Hexing Packaging Subsidiary Signs Changtai Deal for RMB 460M Smart Eco-Friendly Paper Packaging Project
On July 15, Hexing Packaging released an announcement that its controlling subsidiary, Fujian Hexin Packaging Co., Ltd., had signed an Enterprise Land-Use-Right Transfer Reservation Agreement with the Fujian Changtai Economic Development Zone Management Committee on July 14 for the Zhangzhou Changtai Smart Eco-Friendly Packaging Project.
Under the agreement, Fujian Hexin Packaging Co., Ltd. plans to invest in an intelligent eco-friendly paper packaging project within the Zhangzhou Changtai Economic Development Zone. The total investment is roughly RMB 460 million, and the project will be developed for production and operations through phased self-construction, with average investment intensity of at least RMB 3 million per mu.
The reserved land for transfer to Fujian Hexin Packaging Co., Ltd. sits in Guanshan Industrial Park of the Changtai Economic Development Zone, east of Anhua South Road and north of Nankeng Reservoir. It covers approximately 152 mu within the red-line map, subject to the actual surveyed red-line map, and is classified as industrial land.
The project will be built in two phases: 100 mu in Phase I and 52 mu in Phase II. Phase I is to break ground within 12 months from the date land delivery is confirmed and complete within 24 months from commencement; Phase II is to break ground within 36 months from land delivery confirmation and finish within 24 months from commencement.
Hexing Packaging said the project is expected to be carried out by its controlled subsidiary, Fujian Hexin Packaging Co., Ltd. Established in Changtai, Zhangzhou, in September 2013, the subsidiary has delivered solid economic returns since production began and, after years of growth, has become an important profit contributor for the company.
The existing plant of Fujian Hexin Packaging Co., Ltd. is constrained by area, layout and other factors, and can no longer keep up with rising business demand.
Changtai's four leading industries are optoelectronic lighting, paper packaging, machinery manufacturing, and stationery and sporting goods. The area already has a sizable industrial base and a cluster of well-known enterprises, creating robust packaging demand. Once implemented, the project will expand Hexing Packaging's production capacity in Zhangzhou and nearby areas, helping it strengthen and grow its local market share.
Source: China Packaging Network (pack.cn); original link: http://news.pack.cn/show-377847.html
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