Air China gains majority stake in Shenzhen
Air China will make a 682 million yuan ($100 million) contribution into Shenzhen Airlines, and in exchange will now have a 51 percent interest in the carrier.
Another company, Total Logistics Shenzhen is injecting 348 million yuan ($51 million) and will have a 25 percent interest in the carrier.
Air China said the additional capital would “alleviate the pressure on the cash flow of Shenzhen Airlines” and improve both carrier’s air routes within China and internationally. It will “consolidate their market positions in the Pearl River Delta Region,” and make both companies more competitive.