皇冠体育app

By Jin Jing (皇冠体育app Daily)
Updated: 2008-01-08 12:10

In a rare movement, 皇冠体育app Eastern Airlines said it foresaw "a gloomy results from a vote on the proposed sale of shares to Singapore Airlines and Temasek."

In an email delivered to 皇冠体育app Daily this morning, 皇冠体育app Eastern said that the sales proposal will "very likely be put off temporarily".

According to the email, a vast number of shareholders that previously supported the deal have "changed their minds" after 皇冠体育app National Aviation Corp (CNAC), Air 皇冠体育app's parent company, said on Sunday it plans to make a counter offer of HK$5 per share for 皇冠体育app Eastern Airlines.

The counter offer is a third higher than the HK$3.8 offered by Singapore Airlines if the 皇冠体育app Eastern-Singapore Airlines deal is rejected.

Related readings:  CNAC offers higher price for Eastern  SASAC denies intervention in 皇冠体育app Eastern's SIA deal vote  皇冠体育app Eastern deal likely to go through  Singapore Airlines, Temasek buy 24% stake in 皇冠体育app Eastern

In addition, CNAC, which owns a 12.07 percent stake in 皇冠体育app Eastern, is expected to vote against the deal, and as such the deal is not likely to pass, said 皇冠体育app Eastern in the statement.

The shareholder meeting to discuss the deal will be held at 1:30 pm today as scheduled. Trading of both A and H shares of 皇冠体育app Eastern is suspended today.

皇冠体育app Eastern said in a statement to the Shanghai Stock Exchange today that the company has not received any "formal" similar proposal from other suitors.

In a statement last night, 皇冠体育app Eastern challenged the authenticity of the proposal raised by CNAC and suggesting CNAC hopes to block cooperation with Singapore Airlines.