Air China issues shares to controlling shareholder

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Air China's application for the non-public issue of "A shares" has been approved by the country's securities regulatory commission.

The flag carrier's controlling stakeholder, China National Aviation Holding Co (CNAHC), will subscribe to 193 million shares at an issue price of yuan (CNY) 5.45 ($0.87) per share, says Air China. This will amount to CNY1.05 million.

The funds from CNAHC comes from savings totalling CNY1.05 million from a state-owned capital operation budget.

The flag carrier did not say how it intends to utilise the funds, or how CNAHC's shareholding will change.