7.8 billion yuan to rush to Air China!

Mondo Finance Updated on 2024-01-31

In the past three years, Air China has been the most loss-making airline in the civil aviation industry.

In 2020, the net loss was 158200 million yuan, second only to Hainan Airlines.

In 2021, the net loss was 188300 million yuan, the first loss.

In 2022, the net loss will be 451800 million yuan, the first loss. The cumulative net loss in three years was 80 billion yuan. With the rapid recovery of the civil aviation industry this year, Air China's performance has also shown a gradual improvement trend.

From January to September 2023, Air China's net profit was 118.7 billion yuan. But compared to the losses of previous years, the huge hole is irreparable.

As of the end of September 2023, Air China:The total assets are 338.9 billion yuanThe total debt is 300.8 billion yuanNet worth 380300 million yuanThe debt-to-asset ratio was 8878%

Overall, the financial pressure is still very huge. This year, Air China acquired Shandong Airlines Group and increased its capital by 6.6 billion yuan. Shenzhen Airlines is also in urgent need of capital increase. With the recovery of civil aviation, it is necessary to buy planes and expand the fleet.

In particular, in terms of the introduction of domestic aircraft, China Eastern Airlines C919 aircraft has been put into commercial operation, and has signed a purchase agreement with COMAC for 100 aircraft. As a flag carrier, it is naturally Air China's obligation to implement the national strategy and fulfill its responsibilities as a central enterprise. Therefore, Air China quickly confirmed a new round of domestic aircraft introduction plan. Ready to purchase 17 domestic aircraft. Among them, there are 6 C919 aircraft and 11 ARJ21 aircraft. The total investment in 17 aircraft totaled 106.6 billion US dollars, equivalent to about 75 yuan$7.1 billion. Therefore, Air China is still in urgent need of money. In this case, Air China's father, AVIC Group, of course, has the responsibility to support it. On the evening of December 22, 2023, Air China released two private placement plansThe first is to raise 6 billion yuan and issue additional A shares to AVIC Group, which is 702 yuan shares, the number does not exceed 85.5 billion shares. The second is to raise 2 billion Hong Kong dollars to issue H shares to AVIC Co., Ltd., a subsidiary of AVIC Group, which is 5HK$09 shares, the number of which does not exceed 39.3 billion shares. In other words, Air China's major shareholder, AVIC Group, wants to increase Air China's capital by 7.8 billion yuan. Through this private placement, AVIC Group's share of Air China's ** will increase from 5014% to 5371%。What are you going to do with this 7.8 billion yuan?In the announcement, Air China also explained. First, it was used to purchase these 17 domestic aircraft. Second, it is used to supplement liquidity. In fact, in January, Air China issued additional private placements to AVIC Group and 20 financial institutions, obtaining 15 billion yuan. StillAt that time, the fixed increase ** was 895 yuan shares, and now ** has fallen by 702 yuan shares. In less than a year, the decline was as high as 22%. Are the institutions that participated in the fixed increase in January going to cry until they are in the toilet?

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