Cathay Pacific sells 15% stake in Haeco

The Hong Kong airline pockets $333 million from the sale to Swire as the company's capital expenditure and loan repayments rise.
Cathay Pacific Airways and Continental Airlines aircraft parked at Haeco
Cathay Pacific Airways and Continental Airlines aircraft parked at Haeco

Cathay Pacific Airways is selling its remaining 15% stake in Hong Kong Aircraft Engineering Company Haeco to Swire Pacific for HK$2.6 billion $333 million, its third asset sale in the past year as the airline's capital expenditure and loan repayments rise.

Under the terms of the deal, Swire will acquire the airline's 24.9 million shares in Haeco for HK$105 per share, a 25% premium above their closing price on Friday the three involved parties were all suspended from trading on Monday. When completed by June 14, the acquisition will increase Swire's ownership in the maintenance provider to 60.96%. Swire is also the largest shareholder in Cathay Pacific with just under...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222