Shenzhen Airlines is set to sign a memorandum of understanding today to join Star Alliance, becoming the second Chinese member in the grouping along with its parent Air China.

The carrier will ink the MoU in a ceremony this afternoon, it said.

Last March, Air China increased its stake in Shenzhen Airlines to 51% from 25%, saying that the acquisition would be "conducive" to the co-operation between the two airlines.

In December 2009, Air China took over Shenzhen Airlines' management after its then-majority shareholder Li Zeyuan was taken in by the police for questioning.

Air China has said the acquisition of Shenzhen Airlines will help grow its presence in Guangzhou, and help it compete against rivals China Eastern Airlines and China Southern Airlines.

Source: Air Transport Intelligence news