Wednesday, 15 January 2014 13:57

IPO for Mongolian Airlines

Rate this item
(0 votes)

mongolian-airlines-ipoMIAT Mongolian Airlines might go public and announce IPO on international and domestic stock exchange.

An evaluation work for IPO has already been launched, the results of which will be decisive for MIAT whether to go public or not.

In previous 2013 yearь MIAT Mongolian Airlines received the National Air Flag Carrier of Mongolia status according to the Government Policy on Civil Aviation until 2020. Within last few years, the company systematically worked to increase income and even ordered three aircraft from Boeing Corporation, two of which had been delivered in 2013. That year the company not only increased flight frequencies but also wet-leased its aircraft to international clients. This resulted in repayment of its debt in amount of MNT 5.6 billion and yielded in MNT 1.4 billion – a record-breaking amount in the history of the long struggling airline.

According to the airline plan, it has a potential to earn up to USD 60 million in next few years. Should a decision made to go public, up to 49 per cent of the company’s shares will be listed on the stock market while the controlling 51 percent will be remained at the Mongolian government.