Taiwan-based luxury airline STARLUX Airlines has announced the successful completion of its initial public offering (IPO) on the Taiwan Stock Exchange (TWSE), trading under the ticker symbol 2646. The airline’s shares closed up 53.75% on their debut, from an initial public offering price of NT$20.
This milestone follows a record-setting pre-IPO auction and public subscription in October, which achieved an oversubscription rate of 2.2 times, marking the highest in the history of the Taiwanese market.
“This is a moment of great excitement for everyone at STARLUX,” stated Chairman K.W. Chang. “The support and recognition from our passengers inspire us to continually enhance and expand our services. The unwavering commitment of our dedicated employees to excellence has allowed us to reach significant achievements. Moving forward, we will remain focused on our mission to innovate and grow internationally. We are dedicated to delivering exceptional services to travelers worldwide while prioritizing corporate governance to establish a sustainable airline.”
STARLUX’s pre-IPO auction and public subscription set new records, with a total of 319,600 lots (equivalent to 319.6 million shares) auctioned and 687,938 qualifying bids—the highest figures recorded for both bid volume and total awards. In the public subscription phase, 79,900 lots (79.9 million shares) were underwritten, and over a three-day period, 1,607,558 bids were submitted, establishing a new record for the Taiwan stock market. The lottery winning rate stood at 2.48%, making it the only listing this year to exceed one million bids.
For the year 2023, STARLUX reported revenues of NT$22.472 billion (approximately $700.4 million USD), reflecting a remarkable year-on-year increase of 568%, with the company achieving a modest profit of NT$149 million (around $4.66 million USD) in its first year post-pandemic. From January to September 2024, the airline’s revenue reached NT$25.927 billion (approximately $808.6 million USD), representing a 63% increase compared to the previous year.
During the initial nine months of the year, there was notable growth in both passenger and cargo revenue.
Passenger revenue amounted to NT$22.608 billion (approximately $705.1 million USD), reflecting a 61% increase compared to the previous year, largely attributed to robust global demand for passenger services, with load factors consistently exceeding 80%. Cargo revenue reached NT$2.117 billion (around $66 million USD), marking a 91% year-on-year rise, primarily driven by the introduction of new wide-body aircraft that enhanced belly cargo capacity on North American routes. Additionally, the surge in demand, propelled by advancements in AI and e-commerce, has resulted in a shortage of cargo space and unprecedented freight volumes.
Looking forward, Chang expresses confidence in Taiwan’s potential to serve as a pivotal transit hub for both passenger and cargo traffic within the Asia-Pacific region. Taiwan’s strategic geographic position makes it an optimal trans-shipment point for routes linking North America and Southeast Asia.
STARLUX plans to further expand its fleet to increase capacity and introduce new routes. The airline will also seek codeshare agreements with other carriers to establish strategic partnerships that yield mutual benefits and enhance the travel experience for passengers.
