(Yicai Global) June 28 -- Hainan Airlines Holding wants to sell the 58,138,006 shares that it owns in Azul Brazilian Airlines when the opportunity arises, the former said in a statement yesterday.

The Brazilian carrier closed at USD17.31 per share [NYSE: AZUL] the same day. If the stock stabilizes at its current level, Hainan Airlines will thus reap about USD1 billion from the sale. 

Founded in Campinas Airport, Brazil in 2008, Azul went public in the US and Brazil last year. It is the biggest low-cost carrier in the Latin American nation, operating the largest airline network in the country and running 792 flights a day to more than 100 destinations.

Hainan Airlines plans to sell its entire holding in Azul. It held 58,138,006 shares, or 17.95 percent of the total number of the latter's preferred stock, 17.28 percent of the total economic interests of all its outstanding voting securities and 4.64 percent of its total share capital as of yesterday, per the statement.

Hainan Airlines' management made this decision after careful consideration of the firm's overall business development planning and the latest stock market conditions, while the deal will help the company optimize its asset structure and maintain asset liquidity at a solid level, the statement noted.

Editor: Ben Armour