Cathay rival eyes US$1.7b jet order

Greater Bay Airlines, a new Hong Kong-based airline with ties to Beijing, is considering ordering up to 30 narrow-body jets from either Boeing or Airbus as it tries to establish itself in a market dominated by local flagship airline Cathay Pacific Airways (0293).

Greater Bay Airlines, which is awaiting final approval to operate commercial passenger flights out of Hong Kong, is assessing whether to opt for Boeing's 737 Max 10 model jets or Airbus's A321neos, a person with direct knowledge of the plan said. Such an order could amount to as much as US$1.77 billion (HK$13.8 billion), according to calculations by Bloomberg News and Avitas.

The carrier, founded by property magnate Bill Wong, is in talks with both Boeing and Airbus, according to the source. The timing and eventual size of the order depends on the Covid-19 situation in Hong Kong, the source said.

"We shall continue to revisit our aircraft needs to match with customer needs and our expansion strategy under the dynamic market conditions," Jodie Lai, head of marketing at Greater Bay Airlines, said by email.

Greater Bay Airlines has laid out an ambitious plan to fly to 104 destinations in mainland China and much of Asia.

Bloomberg