Results tagged “singaporeairline”

77% of China Eastern shareholders have voted against Singapore Airline's proposed HK$7 billion bid for a 24% stake in it. Disappointed by the results of the vote, China Eastern chairman Li Fenghua has vowed not to ally with Air China:

"We will never consider Air China as a strategic investor. The most important thing is not the price. The most important thing is to improve China Eastern Airlines' brand and management."

Continue reading "China Eastern vote update"

Singapore’s Temasek Holdings and Singapore Airline’s joint bid for a 24 percent stake of China Eastern Airline finally received its blessing from Beijing last week. The deal valued CEA at HK$3.80 per share. China Eastern’s Hong Kong listing after a three month halt resumed trading earlier today and promptly doubled from HK$ 3.73 to HK$ 7.50 before paring back to settle around HK$ 6.90 in the afternoon. Today’s surge in gave the two new investors an instant HK$5.84 billion profit on paper, about USD $750 million. Not bad for a day’s work! Shares of all four major Chinese airlines (the other three are Air China, China Southern and Hainan Air) traded on the domestic exchange rallied 10 percent on the news, the maximum daily limit allowed under local rules. In related news, the Shanghai Composite Index closed at another a record high, up 102 points, or 2 percent, at 5321.