China Eastern to introduce a strategic investor
China Eastern Airlines plans to introduce a strategic investor by reducing its state-owned stakes to allow for more capital injection. “It [regulations] used to stipulate state-owned stakes should account for no less than 50% in China’s big three carriers. But I think this figure can be reduced to about 40% so that we can attract more social capital injection [from a strategic investor],” China Eastern CE Ma Xulun noted. Beijing now encourages China’s state-own enterprises to make reforms to realise diversified ownership. In January, the China Securities Regulatory Commission approved China Eastern to circulate 2.33b A shares at CNY6.44 (US$.98) per share to no more than 10 investors so it could collect about CNY15b for fleet renewal and loan payoff, which would reduce state-owned stakes from 64% to about 50%. <br/>
https://portal.staralliance.com/imagelibrary/news/hot-topics/2016-03-16/sky/china-eastern-to-introduce-a-strategic-investor
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China Eastern to introduce a strategic investor
China Eastern Airlines plans to introduce a strategic investor by reducing its state-owned stakes to allow for more capital injection. “It [regulations] used to stipulate state-owned stakes should account for no less than 50% in China’s big three carriers. But I think this figure can be reduced to about 40% so that we can attract more social capital injection [from a strategic investor],” China Eastern CE Ma Xulun noted. Beijing now encourages China’s state-own enterprises to make reforms to realise diversified ownership. In January, the China Securities Regulatory Commission approved China Eastern to circulate 2.33b A shares at CNY6.44 (US$.98) per share to no more than 10 investors so it could collect about CNY15b for fleet renewal and loan payoff, which would reduce state-owned stakes from 64% to about 50%. <br/>
