Air China has offered US$ 416 million for complete control of a Hong Kong share unit of China National Aviation. This will almost double its stake in Cathay Pacific airlines. Shareholders in the China National Aviation Co unit, or CNAC, will get HK$2.80 a share in cash, a 39 per cent premium to the stock’s three-month average.

The purchase will give Air China a 17.5 per cent stake in Cathay Pacific, the Beijing-based airline said yesterday.
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