Ye Xiaobin, project manager for Yufeng Fund Management said China Aviation Industry Corporation (AVIC) will inject 80% of total assets into its listed subsidiaries in the coming three to five years.
Co-founded by the domestic aviation conglomerate and a subsidiary of China Construction Bank, Yufeng Fund Management is specially responsible for management of the China Aviation Industry Fund.
The fund with an original capital of RMB5 billion is under construction now, and it is designed to make use of the capital cosming from financial, insurance, and state-owned companies to invest in the Chinese aviation field.
Trading Markets reports that AVIC General Airplane wants to float shares in the coming three years.
Its aviation, heavy machinery, and electro-mechanical businesses will be gradually injected into three listed subsidiaries, including Guizhou Liyuan Hydraulic, Guihang Automotive Components, and China Aviation Sanxi.
The helicopter subsidiary of AVIC plans to integrate its R&D, marketing, and resource allocation in 2009, and one year later, it will be offered on the market. In addition, China National Aero-Technology Import & Export Corporation (CATIC), one of AVIC’s important arms, wants to introduce suitable strategic investors and to go public on the Stock Exchange of Hong Kong as soon as possible.