Swire Properties Ltd. subsidiary Citi-Fame Development Ltd. agreed to buy a 50% equity stake in Shanghai Qianxiu Co. Ltd. from Shanghai Newbund Industrial Development Co. Ltd. in a roughly 1.35 billion-yuan deal.

Shanghai Newbund is 60% owned by Shanghai Lujiazui Finance & Trade Zone Development Co. Ltd. and 40% owned by Shanghai Qiantan International Business District Investment. Its subsidiary, Shanghai Qianxiu, holds the land use right to a land parcel in Qiantan in Shanghai's Pudong New District.

Following the transaction, which is subject to certain conditions, Citi-Fame and Shanghai Newbund will each hold a 50% stake in the target company. The duo is are planning a retail project on the land, with an estimated gross floor area of about 1,250,000 square feet.

The development is poised to be Swire Properties' second in Shanghai and its sixth project in mainland China, according to a filing.

As of Feb. 23, US$1 was equivalent to 6.33 yuan.