Hong Kong Airlines confirms Hong Kong IPO in 2012

Hong Kong Airlines President Yang Jianhong confirmed the carrier is planning an IPO in Hong Kong in 2012 (Wall Street Journal, 01-Jun-2011). Mr Yang stated the carrier has already hired investment banks to arrange the IPO transaction but did not disclose details of the transaction. Mr Yang also stated the carrier is considering raising funds for fleet expansion due to the continuing increase in demand in Asia Pacific. Mr Yang estimates the carrier's capital expenditure in 2012 will be approximately HKD8 billion (USD1.0 billion), of which the majority will be used to fund aircraft purchases. Hong Kong Airlines operates a fleet of 18 aircraft including B737s and A330s. The carrier will take delivery of two new aircraft in the middle of this year and nine new aircraft next year.