Asia Pacific stocks mixed, Cathay increases stake in Air China

Asia Pacific airline stocks were mixed on Friday, with Chinese and Korean airline stocks falling and Australian and Singaporean airlines rising.

China Eastern and China Southern fell 3.8% and 3.7%, respectively, while Air China (-2.7%) fell despite Cathay Pacific confirming during trading that it has raised its stake in the Beijing-based airline from 19.05% to 19.18%. The move is ahead of Air China’s issue of new A shares (announced in Mar-2010) to up to ten investors, including its parent.

Elsewhere Qantas and Virgin Blue defied a flat close on the Australian Stock Exchange on Friday to edge up 1.4% and 1.7%, respectively.

Asia Pacific selected airlines daily share price movements (% change): 02-Jul-2010