Military conglomerate considering breakthrough Hong Kong listing

China Aviation Industry Corp (AVIC II), a aircraft maker and military contractor, is reportedly seeking a Hong Kong listing.

Success would see it becoming the first mainland military business conglomerate to secure an overseas listing.

AVIC II was planning to launch a Hong Kong share sale in the 'near future', the China Daily Business Weekly said.

European investment banks such as ABN Amro and ING Barings were said to be among those attempting to pitch the listing plan. The move is reportedly part of the conglomerate's efforts to strengthen its competitiveness to meet the challenge from global players.

AVIC II's overseas listing plan had been approved by the State Council, the newspaper said yesterday.

However, detailed terms and a listing schedule had yet to be finalised as the company was engaged in internal restructuring, Business Weekly quoted an official at AVIC II as saying.