China Southern Airlines shareholders have approved a second round of State capital injections of up to CNY10.75 billion (USD1.6 billion), which will be used to repay bank loans, reducing the carrier’s debt ratio from 86% to 75% (AvBuyer, 01-May-2010). The second round of State funding is similar to that of the first round, through the non-public offering of 2.1 billion China Southern A and H shares. China Southern Chairman, Si Xianmin, stated following the second state capital injection, the carrier will develop Beijing as its second hub after Guangzhou and expand its international route network.
China Southern Airlines receives USD1.6 billion in second round of state capital injection
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