Irish aircraft leasing firm Avolon said on Friday it was considering an unsolicited takeover bid of $31 per share from China's Bohai Leasing Co Ltd , which would value the firm at over $2.5 billion.

Avolon, whose shares were priced at $20 per share in an initial public offering in December, said the bid was in response to an offer from an independent third party to acquire the firm for $30 per share.

Bohai, which earlier this month agreed to buy 20 percent of U.S.-listed Avolon for $429 million, was informed of the unsolicited offer and made its own $31 per share offer in response, Avolon said.

"Avolon's Board of Directors has not accepted or rejected either offer and continues to carefully evaluate these ... and has authorised its financial advisors to continue negotiations with both," Avolon said in a statement.

Chinese lessors, mostly backed by state-owned banks, have been expanding in recent years as large carriers such as Hainan Airlines Co Ltd, Air China Ltd, China Eastern Airlines Corp Ltd and China Southern Airlines Co Ltd opened more routes at home and overseas. (Reuters) 

Source: www.businessworld.ie