Chinese carrier Hainan Airlines plans on selling the rest of its stake in Brazilian airline Azul.
No further details have been revealed, but the remaining 19,379,335 American depositary shares (ADSs) or 17.95 per cent it owns is reportedly worth around $324 million.
An Azul statement said: “The offering is part of Hainan’s strategic plan, which includes capital raising initiatives, selected divestments, as well as investments in airlines and in the aviation services sector.
“Azul and Hainan do not expect the offering to result in any material change to the strategic plan or commercial relationship between Azul and Hainan.”
In April, Hainan, which is owned by the HNA Group, sold about four per cent of its stake in Azul to a subsidiary of United Airlines parent United Continental Holdings for $138.3 million. Hainan paid $450 million for a 23.7 per cent stake in the Brazilian carrier in 2016.
Sao Paolo-based Azul is Brazil’s third-largest airline after LATAM Airlines Group’s Brazilian arm and Gol Linhas Aereas Inteligente and has about 19 per cent of the Brazilian domestic market and a 15 per cent of the international market among Brazilian carriers.