Garuda jumps on government stock buy plan
Asia Pacific airline shares finished the week lower, with the exception of Garuda Indonesia, which gained 6%. The Indonesian Government plans to request PT Jaminan Sosial Tenaga Kerja and PT Perusahaan Pengelola Aset purchase shares owned by the underwriters of the carrier’s IPO at IDR550 to IDR600 per shares. The increase was the largest single-day gain since the carrier listed on 11-Feb-2011.
China Airlines Chairman Chang Chia-juch stated the carrier may seek strategic investors to help finance its planned 25% fleet expansion. He added that the airline will look for partners to help improve operations and management. He declined to say which companies it would seek tie-ups with or how large a stake it may sell. Singapore Airlines spokesman Nicholas Ionides stated the carrier is not considering such a tie up.
Thailand's Krung Thai Bank stated it would not sell a 10% stake in Nok Air at the 20% discount offered by Thai Airways. KTB president, Apisak Tantivorawong said the share sale is likely to be delayed since both KTB and Thai Airways cannot agree on the price. Thai Airways shares were 4.2% lower on Friday.
Selected APAD daily share price movements (% change): 11-Mar-2011