Bank of China plane unit's HK$8.7b IPO reflects Asian aviation growth

New Delhi

THE skies above Asia will get more crowded during the next 20 years as airlines acquire planes to fly more passengers from developing economies. That timing couldn't be better for aircraft leasing company BOC Aviation Ltd.

BOC Aviation, an arm of Bank of China, is scheduled to debut on the Hong Kong exchange on Wednesday after raising HK$8.7 billion (S$1.5 billion) in an initial public offering. The company sold new and existing shares at HK$42 apiece in Asia's second-biggest IPO this year, and it plans to use the proceeds to help pay for new planes.