293丨Swire Discount 10% Placement to Cathay Pacific, Net Proceeds Nearly 1.8 Billion

SighingCashier · 2026-03-13T00:15:55+00:00

Swire Group is offering 153 million shares of Cathay Pacific at a 9.62% discount, involving approximately HK$1.797 billion, which will be used as general operating capital. The expected proceeds are about HK$3.65 billion. This move aims to strengthen the company's balance sheet and financial flexibility. Swire reaffirms its confidence in Cathay Pacific, with its shareholding to be reduced to approximately 45.12%.

SighingCashier

2026-03-13 00:15:55

Abstract generation in progress

Swire (00019) announced the placement of 153 million Cathay Pacific Airways (00293) shares, accounting for approximately 2.52% of Cathay Pacific’s total shares. The placement price is HKD 11.74 per share, representing a 9.62% discount to Cathay Pacific’s closing price of HKD 12.99 yesterday. The total amount involved is HKD 1.797 billion, with a net proceeds of HKD 1.789 billion, which will be used for general operational purposes.

Swire expects to record a gain of about HKD 365 million from the placement and states that raising funds through the placement benefits the company by increasing its working capital, further strengthening its balance sheet, and enhancing its financial flexibility. The company emphasizes its confidence in and firm commitment to Cathay Pacific.

Swire states that this placement will restore the company’s stake in Cathay Pacific to levels prior to the off-market share repurchase by Cathay Pacific from Qatar Airways Group. After the placement, the company’s equity interest in Cathay Pacific will decrease from 47.64% to approximately 45.12%.

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