Lufthansa Intends To Buy Stake In China Hub Airports

XI AN, May 24, SinoCast -- Germany s Lufthansa is in talks over stake purchase with Guangzhou New Baiyun International Airports, Shanghai Pudong international Airport and Xi an Xianyang International Airport, according to Shi Boli an official from Civil Aviation Administration of China.

Lufthansa has partnered with the three airports in business like training. But the German company starts to seek cooperation in capital. At the moment, CAAC, aviation industry authority of the country, requires that a foreign company is allowed to take at most 49% of an airport in mainland China.

Guangdong Airport Management Corporation is proposing to introduce overseas strategic investors, but has not worked out a schedule.

However, the Baiyun Airport can issue no more than 29% of total shares because 40% of them are held by public investors and the management corporation must remain the controlling shareholder at the same time.