Japan Airlines Files For IPO
Japan Airlines has set the price of their IPO today, which could value the bailed out company at 663 billion yen ($8.5 billion). This would be the world’s second largest IPO this year after Facebook.
The company is seeking a price of 3,790 yen (about $48.40) per share. The IPO would almost double the 350 billion yen investment that a state-backed fund made in Japan Airlines after going bankrupt in 2010.
The Enterprise Turnaround Initiative Corporation of Japan plans to sell their 96.5% stake in Japan Airlines in the IPO, which would lead to a gain of $4 billion in profit. JAL emerged from bankruptcy as a smaller airline company.
The company eliminated one third of their workforce and scaled back pensions. The company also dropped unprofitable routes and downsized their fleet from jumbo jets to just mid-size planes.@amitchowdhry or on Google+ at +AmitChowdhry