HONG KONG: China's national flag carrier Air China expects to raise net proceeds of a maximum HK$7.51bil from its global initial public offering (IPO), including an over-allotment option, and will use the money mostly to acquire 10 Airbus 319 and four Boeing 737-700 aircraft.
The company intends to spend 4.8 billion yuan for the purchase of new aircraft and will use the rest of the IPO proceeds to repay debts maturing in one year and supplement its cash flow, according to the IPO document.