CAAC being cleared for take-off

Taking advantage of the last market window of the year after Thanksgiving this Thursday, the authority is said likely to proceed with its $150 million H share offering for Travelsky Technology Ltd (TTL). Despite turbulent market conditions, observers report positive market feed back for the Goldman Sachs-led deal and increasingly positive global sentiment towards the sector generally.

The 270.32 million share transaction is, however, set to differ markedly from the oil and telecommunications plays that have dominated international issuance from the PRC so far this year. Where both the latter sectors had the regulator and operator separated pre-IPO in the interests of creating nationally competitive companies able to withstand WTO membership, TTL operates as a monopoly under CAAC.