In addition, Frasers, via another subsidiary, Singlong Property Development (Suzhou) will extend an interest-bearing bridging loan of some RMB1.2 billion to one of the JV partners.
The loan will be up to July 1 and carry an interest of 8% a year.
The two joint venture partners are related entities.
If the investments do materialise, Frasers will own up to 25% of each project.
See also: Frasers Property in real estate JV with Morgan Stanley
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Frasers believe that by extending the financial support, it can form a “strategic alliance” with the JV partners and potentially undertake other investments together down the road.
Frasers Property traded at $1.09.
