Hong Kong Airlines (HX, Hong Kong International) has dusted off plans to hold an IPO and is considering pursuing one in the United States and Hong Kong in the short to medium term.
Company documents seen by Reuters state that ahead of the planned listing, parent firm HNA Group is looking to raise around USD350 million through the private placement of new shares, expanding its equity base by 22%.
The company also wants to raise up to USD550 million through convertible bonds or tradable bonds before the listing. Reuters said the bond issue will be at a coupon rate of 8-to-10% for a two-to-five-year period.
According to the document, Hong Kong Airlines expects its revenue to reach CNY14.97 billion yuan (USD2.34 billion) this year, while its 2017 EBITDA earnings will increase by 11.4% to CNY4.21 billion yuan.
Hong Kong Airlines had planned to go public in 2015 via a dual-currency listing in both Yuan and Hong Kong Dollars but later shelved the plan.
