Cathay Pacific has successfully completed the off-market repurchase of shares previously held by Qatar Airways, a move that reduces the airline's outstanding shares from 6.7 billion to 6.1 billion. This transaction, valued at HKD6.9 billion (USD891.8 million), was approved by the shareholders with 99.9% support and is set to finalize by February 24. As a result, Swire Pacific's ownership stake in Cathay Pacific will increase to approximately 47.7%, strengthening its influence within the airline.
The share buyback marks Qatar Airways' decision to exit its investment in Cathay Pacific to optimize its portfolio, although the two airlines will continue their partnership through the Oneworld alliance. The deal was executed immediately following shareholder approval, with regulatory clearances obtained from the Securities and Futures Commission. Following the capital reduction, other major shareholders such as Air China will hold just below 30%, after divesting a small stake earlier to avoid mandatory offer obligations.
This strategic step aims to bolster Cathay Pacific's financial position and shareholder structure amid the airline's plans for future growth and operational stability. The airline remains operationally active from Hong Kong, with a fleet of 194 aircraft connecting 93 destinations through 161 routes, maintaining its status as a key player in the regional and international aviation markets.
