Dentons advises Okay Airways on sale of its regional airline business for strategic adjustment

A Dentons team led by Senior Partners Leng Xuefeng and Cao Yang has advised Okay Airways on legal and taxation matters in relation to its successful sale of regional airline business.

Okay Airways is a pioneer in China's private aviation sector, and is one of the first private sector airlines in China approved by the Civil Aviation Administration of China. It not only has abundant domestic and international trunk line resources, but also has established itself in the field of regional aviation. Through the first cooperation between a private airline and state-owned airline, the company managed and operated the largest fleet of the domestically produced aircraft - Xian MA60.

In recent years, with the continuous advancement of moving to the new airport in Beijing and developing long-haul international routes, Okay Airways decided to carry out strategic adjustments, selling its regional airline assets and business with a purpose of optimizing resources and concentrating on building superior trunk line products.

Based on the client's needs and the actual circumstances, the Dentons team assisted the client in developing the sales plans, drafting, reviewing and revising the relevant transaction agreements and internal resolutions, participating in multiple rounds of negotiations between the client and the collaborating party, providing feedback and solutions for relevant questions raised by the other party, and advising on matters related to taxation.

The project lasted nearly a year and the aggregate estimated value of this deal was up to RMB 2 billion. With their outstanding professionalism, rigorous work attitude, professional and efficient legal services, and excellent business vision and judgment, the Dentons team was highly appreciated by Okay Airways.