BOC Aviation's $1.1 billion IPO rides sector boom

Airlines acquire more planes to carry passengers from new economies

The skies above Asia are set to get more crowded during the next 20 years, as airlines acquire more planes to fly increasing numbers of passengers from developing economies. That timing couldn't be better for aircraft leasing company BOC Aviation Ltd.

BOC Aviation, an arm of Bank of China Ltd, is scheduled to debut on the Hong Kong Stock Exchange on Wednesday after raising HK$8.7 billion ($1.1 billion) in an initial public offering. The company sold new and existing shares at HK$42 apiece, in Asia's second-biggest IPO this year, and it plans to use the proceeds to help pay for new planes.