Air China parent bids for China Eastern
22 January 2008
China National Aviation Holding Company (CNAHC), the parent company of Air China, said on Monday that it had offered to buy a 30% stake in rival China Eastern Airlines for at least HK$5 (US$0.64) per share, the Wall Street Journal reported. The offer comes after shareholders of China Eastern voted on January 8 to reject a bid for a 24% stake in the airline by Singapore Airlines and Temasek Holdings, Singapore's sovereign-wealth fund. CNAHC had argued that the Singapore offer, for HK$3.80 (US$0.49) a share, did not represent a fair valuation of the airline, one of China's top three by passenger volume. China Eastern said it would consider CNAHC's new proposal, but later voiced doubts about its "sincerity."
Bookmark and Share:
