|
|
Shareholders reject China Eastern's SIA deal for low offer price |
 |
+ |
- |
20:01, January 08, 2008 |
China Eastern Airlines (CEA) shareholders rejected its planned 24 percent stake sale to Singapore Airlines (SIA) during a vote in Shanghai on Tuesday.
More than 74 percent of the minority H shareholders and 77 percent of the minority A shareholders voted against the tie-up as they deemed the offer price of 3.8 Hong Kong dollars (48 U.S. cents) as too low.
The deal needed the support of two-thirds of both the H and A minority shareholders before becoming effective.
The rejection created the possibility of a strategic alliance between Air China and CEA, as the Beijing-based flagship carrier had been longing to gain a base in the booming aviation market of Shanghai.
Source:Xinhua
|
|
|
Comment
Tell A Friend
Print Format
Save Article