I think this a good move to scale up their business and exploit their core competency from Wessex operations.
YTL Corporation Bhd is venturing into China via a strategic tie-up with Asia Environment Holdings Ltd (AEH) to collaborate in the fast-growing and lucrative water industry.
In a statement, YTL said the two companies had entered into an agreement yesterday to draw on the group’s water expertise, branding and financial strength and AEH’s local knowledge and proven execution skills in China.
Water will be the next crisis after oil. You can stop driving but you can't stop drinking. Will try to find time to summarize on what I read later. As China is moving to clean up its environment, this is a promising area to make money.
It said it had been estimated that two-thirds of China’s water resources were polluted, a problem exacerbated by low water resources per capita and high water leakages amounting to 28%.
Please don't jump in to buy now, let me do my homework first. Value the company to determine how much it's worth. It may turned out to be a fluke. Have a nice weekend.