Taiwan-based China Airlines has sold its 25 percent stake in Yangtze River Express Airlines because its fleet of aircraft can meet cargo demand after the Chinese mainland and Taiwan launched direct flights.
The carrier sold the stake back to HNA Group, the fourth-largest aviation group on the mainland, for 312.5 million yuan (US$46 million), the same price at which it bought it in 2006, it said in a statement on Monday.
Meanwhile, Yang Ming Marine Transport Corp has also sold its 12 percent stake for 150 million yuan, and Wan Hai Lines sold its 6 percent stake for 75 million yuan in the express airline back to the HNA Group.
The three companies and China Container Express Lines agreed with HNA Group in 2006 to buy a combined 49 percent stake in the express airline.
"Yangtze River Express Airlines helped us tap into the mainland's cargo market before the two sides launched direct flights," Hamilton Lieu, a spokesman of the Taiwanese carrier, told Shanghai Daily yesterday.
"Now our target has been achieved, and our current fleet capacity can meet the cargo demand," Lieu said.
