Grand China Air has purchased 595 million shares of Hainan Airlines for RMB1.898 billion (approx: US$303 million) from Hainan Development Holdings (HDH) in an unrestricted stock sale, lifting its equity in the carrier to 34.84%.
Grand China Air already directly holds 3.433 billion unrestricted A share stock, equivalent to 28.18% of equity in Hainan Airlines. In addition, it holds 216 million shares, or 1.77% equity, through American Aviation LDC, adding up 29.95% before the purchase from HDH that will raise its stake in Hainan Airlines by a further 4.89%
Grand China Air has pledged to maintain the complete independence of Hainan Airline’s operations, personnel, assets, finances, organization and services.(Translation by David)
