China Southern Airlines' parent is acquiring 40% of the state-owned company that operates Shenyang airport in northeast China.
SkyTeam alliance carrier China Southern says in a Hong Kong stock exchange filing that its parent, China Southern Air Holding, has entered into an agreement with the Liaoning Provincial Government to acquire the 40% stake in Liaoning Airport Management Group.
Liaoning Airport Management Group's main asset is Shenyang airport, which is a major airport in northeast China where China Southern already has extensive operations. China Southern boosted its presence in the city several years ago when it acquired Shenyang-based China Northern Airlines.
China Southern's parent says it plans to invest 10 billion yuan ($1.5 billion) in Liaoning Airport Management Group to expand Shenyang airport. A new terminal will be built and China Southern will open new international routes from the city over the next five years, it adds.
Source: Air Transport Intelligence news
