Mainboard-listed China Merchants Holdings (Pacific) says it has agreed to acquire 51% equity interest in Zhejiang Wenzhou Yongtaiwen Expressway Co. from its holding company, China Merchants Group for RMB2.23 billion ($447 million).

Zhejiang Wenzhou Yongtaiwen owns and operates the Wenzhou Yongtaiwen Expressway (Wenzhou Section), a 138 km long expressway located in Zhejiang province in China.

China Merchants Holdings (Pacific) intends to finance the acquisition using a combination of internal cash resources of $175 million and external financing including external bank borrowings and/or the issuance of new securities.