Sichuan Airlines is expected to increase its stake in troubled Dongbei Air to 97% from its current 33.5% holding, another example of the growing trend of China's few privately run airlines being taken over by state-owned carriers.
Sichuan Chairman Lan Xinguo noted that the stake purchase still must receive government approval and "hopefully will be approved by relevant government organs soon." He didn't reveal how much Sichuan would spend to effectively take over Dongbei, but insiders estimated it would invest about CNY101.6 million ($14.9 million).
Sichuan Airlines is expected to increase its stake in troubled Dongbei Air to 97% from its current 33.5% holding, another example of the growing trend of China's few privately run airlines being taken over by state-owned carriers. Sichuan Chairman Lan Xinguo noted that the stake purchase still must receive government approval and "hopefully will be approved by relevant government organs soon." He didn't reveal how much Sichuan would spend to effectively take over ...
Subscribe to Access this Entire Article
"Sichuan Airlines expected to take control of Dongbei Air" is part of ATW Plus, our online premium membership. Subscribing will provide you access to exclusive news, carefully researched airline financial, fleet and traffic data, plus the option to receive our popular, award-winning print magazine. To learn more, click here. If viewing via ATW Mobile, please login and click "Read web article" to view fully. Questions? ATWPlus@penton.com.
