Feb. 8, 2012 (China Knowledge) - Spring Airlines Co Ltd, a low-cost airline based in Shanghai
, has submitted an application to the China Securities Regulatory Commission
to launch its initial public offering after shelving the plans three years ago due to unstable market, according to the commission's website.
The airline's Spokesperson Zhang Wuan said the company will not introduce any strategic investors in the proposed IPO, adding that proceeds from the IPO will be used to purchase aircraft for more flights.
However, no additional details, including IPO size and timetable, have been disclosed.
Spring Airlines is expected to become the first privately-owned Chinese airline to enter the capital market, following state-owned Air China Ltd<601111
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In 2010, Spring Airlines' net profit surged 240% year on year to RMB 470 million, and the amount might have reached around RMB 500 million last year, principally boosted by strong demand in domestic aviation market and increased passenger load factor of 95% in 2011.
At present, Spring Airlines operates 57 flights with a fleet size of 30 aircraft, nine of which are self-owned, and the company also aims to increase the fleet size to around 60 aircraft by the end of 2015.