Case ID: HKU819     Solution ID: 29193

Public Private Partnership Case Solution


In 2007, Hong Kong MTR Corporation Limited (MTRC) was offered a 20% stake in Metronet Rail (Metronet), one of the two private segment building consortia contracted to run and keep up the London Underground rail system, under a 30-year open private organization (PPP) concurrence with London Underground Limited (LUL). This speculation could change MTRC from a neighborhood rail administrator into a global player, giving the Company a noteworthy solid footing in working urban rail frameworks in Europe. On the other hand, the LUL PPP was generally viewed as a standout amongst the most complex private account courses of action in the UK open segment, and there were a large group of instabilities for Hong Kong MTRC to battle with about its capacity to make an achievement of the venture. This case would permit understudies to investigate the thought processes behind the PPP assentions to work government resources and the ramifications of PPP for administration's working and monetary system. In the meantime, understudies can likewise assess the offer made to the MTRC and the propriety of the Company's acknowledgment.

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