Donghai, Qingdao Airlines announce IPO plans

Donghai Airlines (DZ, Shenzhen) is planning to go public in May next year. China's WCARN news reports the carrier is seeking funds to aid its ambitious route and fleet expansion plans.

Founded in 2006, the Sichuan Airlines (3U, Chengdu) subsidiary currently operates five B737-300(F)s and six B737-800s on domestic passenger routes while cargo operations extend to the sub-region. As recently reported, Donghai plans to acquire a total of 120 aircraft by 2025 including B787-9s for long haul services as well as additional B737-800s and B737 MAX aircraft.

In related news, the recently privatized Qingdao Airlines (QW, Qingdao) has announced its own plans to pursue an IPO of its own, albeit in 2020. As with Donghai Airlines, Qingdao is in the process of rapidly expanding its fleet which is expected to reach 102 by the end of 2025. Currently, it operates six A320-200 (sl)s on flights to more than ten destinations throughout China. In addition to three more A320s due for delivery before year-end, Qindao also expects to add five A320s and eighteen A320neos from next year onwards.

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Photo:João Luis Pessoa - TLS