China Eastern Airlines was reported to be close to announcing the acquisition of a 30- 40 per cent stake in Wuhan Airlines for about Yn300m, reported Shanghai Daily in mid-March. “The acquisition is part of China Eastern’s strategy to further expand its share in the domestic aviation market,” the newspaper quoted an industry source as saying.
China Eastern has already acquired Great Wall Airlines and it is due to merge with China Northwest Airlines and Yunnan Airlines in creating one of three giant groups that are being created by the country’s aviation administration.
Wuhan Airlines is one of six small carriers that formed an alliance last year to defend against competition from the big three.
You must log in to post a comment.