BEIJING: Shares of Juneyao Airlines surged by the 44 percent first-day trading limit after they debuted on the Shanghai Stock Exchange.
Its shares closed at 16.10 yuan (US$2.60), up from its initial public offering price of 11.18 yuan per share.
The Shanghai-based airline offered 68 million shares in its IPO and raised 760 million yuan.
Juneyao Airlines describes itself as a “budget carrier with full services” and targets “mid- to high-end business and leisure travelers.” It began flying in 2006 and has a fleet of 42 Airbus A320 aircraft, which it plans to expand to 50 planes by the end of 2015.
The airline has also set up low-cost subsidiary, Guangzhou-based 9Air, which started operations in December with three B737s.
The airline was under the privately owned Juneyao Group that has a wide range of business, including in food, dairy and education. The group runs one of the city’s most popular elementary and middle schools, the Shanghai World Foreign Language School.
Juneyao Airlines became the second private carrier to be listed in the A-share market after Spring Airlines.
