CNC DEVELOPMENT LTD (GREY:CDLVF)

On September 9, 2009 IAQG, a special purpose acquisition company, consummated a deal to acquire Sing Kung. 

Sing Kung, through its wholly-owned China-based subsidiary, Century City Infrastructure Co., Ltd., plans and implements turnkey urban infrastructure and development projects throughout the People’s Republic of China for municipal and provincial governments.

Century City and its operating affiliates provide economic strategy guidance and detailed urban planning services to municipalities struggling to deal with growth and demands on city infrastructures. The Company generates the plans for the industrial, commercial, and residential development of key infrastructure projects. In keeping with established practice within the PRC, these projects are collaborative in nature and involve engineering teams from recognized centers of excellence such as Tongji and Tshingua Universities with whom Company management maintains close relations.

For qualifying urban development projects, the Company organizes and manages a consortium for turnkey financing and implementation of the first-phase of development – site development and foundational infrastructure such as roads, pipelines, electric grids, and public lighting. The Company and its consortium enter into a build-transfer (“BT”) contract with the local government sponsor, a variation on public-private partnerships (“PPP”) in wide use throughout the world. The consortium is responsible for the detailed design and engineering work and the on-time completion of construction to specification. Century City has three BT projects in-progress and has proposals outstanding for several others having completion dates in 2009 and beyond.

The repayment time frames for BT contracts in the PRC are generally long term (up to 15 years). However, payment is typically accelerated through take out financing that it helps arrange for its client municipalities.