New carrier to buy 50 B737 planes for US$3.8b
Print Edition
CHINA’S newly established budget carrier Jiuyuan Airlines has placed an order for 50 Boeing 737 jets, Boeing said yesterday.
The order could be worth more than US$3.8 billion based on list prices and includes some of Boeing’s next-generation 737 jets, according to a statement posted on Boeing’s website.
With a registered capital of 600 million yuan (US$96.3 million), Jiuyuan Airlines is based at Guangzhou Baiyun International Airport.
Jiuyuan Airlines, or “9 yuan” in Chinese, has said it will offer flight tickets of 9, 19, 29, 39 and 49 yuan but it did not say if they are single or round-trip tickets. It is the second budget carrier after Spring Airlines on China’s mainland.
Juneyao, parent of Jiuyuan Airlines, is seeking to raise 1.9 billion yuan from an initial public offering of 200 million shares, or 29 percent of its enlarged total equity, it launched in Shanghai at the start of this month, according to a prospectus. The IPO funds will be used to purchase seven Airbus A320 jets and spare engines.
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