SOEs band to create aviation supply firm
CHINA Aviation Supplies Co was officially formed yesterday following joint investment from five state-owned enterprises under the direction of the state assets watchdog.
The new company resulted from the reshuffle of China Aviation Supplies Import & Export Group Co, a wholly owned secondary subsidiary of the China Aviation Supplies Holding Co (CASC).
The new company was jointly funded by China Southern Airlines, China National Aviation Holding Co, China Eastern Airlines, CASC and China Reform Holdings Co.
China Southern Airlines is the biggest shareholder with a 24 percent stake in the new company, while China Reform Holdings has a 10 percent stake.
The new company aims to promote the efficient flow of aviation supplies assets, facilitate innovation in industrial security and serve state-owned aviation enterprises initially.
China is reorganizing its SOEs to improve their competitiveness.
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