Two groups met before man was shot dead on Sydney street, police say

Police say two groups of men met before a man was shot dead in a brazen daylight attack in Sydney's south-west.

Xiao Zhao was shot in the shoulder near a Black BMW in Granville about 4.30pm on Sunday before collapsing in a gutter outside an Australia Post sorting facility.

Witnesses tried to save the 44-year-old but he died before paramedics and police arrived in droves.

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Police said the two groups met up in what was usually a "quiet street".

"It would appear that two groups of Asian males have met at the location, a shot has been fired at some point, and the male is now deceased," Superintendent Andy Holland said.

"The victim is known to police, we don't know the links at this stage to organised crime but it would suggest that the meeting between the two groups would suggest it is a targeted attack.

"Obviously they met for a reason."

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Officers detained a man near a Lamborghini, frisking him before bagging a wad of $50 notes and a pair of Nikes.

He was led away for further questioning.

Police also arrested a man on a nearby street, with officers crouching with a torch to inspect an item found near the black sedan the man was pulled over in.

Two men were in custody at Granville police station on Monday afternoon.

They claim to know the 44-year-old and police don't expect to lay charges against them at this stage.

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