(Adds details on listing, industry context)
SINGAPORE, July 11 Shares in China Aircraft
Leasing Group Holdings Ltd (CALG) rose 3 percent in
its Hong Kong trading debut on Friday, as Asia's first listed
plane lessor seeks to tap into voracious appetite for aircraft
in the world's fastest-growing aviation market.
The initial public offering by CALG, partly owned by a
subsidiary of state-backed financial conglomerate China
Everbright Group, raised HK$729 million ($94 million). CALG
plans to use nearly all the funds raised to acquire aircraft.
Shares in the lessor, which has a 3 percent share of the
Chinese aircraft leasing market, last traded at HK$5.7. That
compared with an IPO price of HK$5.53, the bottom of an
indicated range of HK$5.53-HK$7.82.
China's 800-plane leasing market is dominated by the world's
biggest lessors, International Lease Finance Corp, now part of
AerCap, and GECAS, a unit of General Electric.
But local lessors are fast expanding, setting up offices in
the aircraft financing hubs of Singapore and Ireland, and some
even placing direct orders with plane makers, to take a bigger
share of the booming industry.
CALG competes against the bigger leasing arms of Industrial
and Commercial Bank of China and Bank of
Communications and global majors such as
Singapore-based BOC Aviation, a unit of Bank of China.
CICC, China Everbright Securities and CCB International were
joint bookrunners on the CALG IPO.
($1 = 7.7496 Hong Kong Dollars)
(Reporting by Anshuman Daga; Editing by Kenneth Maxwell)