SEOUL, Sept 13 (Askume) – Cathay Pacific Airways (0293.HK) said on Friday it has bought back all warrants issued to the Hong Kong government in 2020, a further move to repay the government’s pandemic-related recapitalisation plan.
Cathay Pacific said the buyback was valued at HK$1.53 billion (US$196.2 million).
In late July, the airline bought back the final tranche of HK$19.5 billion in preference shares issued to the Hong Kong government as part of a HK$39 billion rescue package in June 2020.
It also paid preferred stock dividends totaling HK$2.44 billion.
Chief Executive Steve Lam said: “The completion of the repurchase of preference shares and warrants writes an important chapter in Cathay Pacific’s history. Now, our focus is on the future.”
Cathay Pacific, which has suffered heavy losses and job cuts during the COVID-19 pandemic, in March reported its first annual profit in four years and made its first dividend payment since 2019.
The company reported a 15% drop in August interim profits , mainly due to lower ticket prices, and announced an investment of HK$100 billion ($12.8 billion) in the airline over seven years.
(1 USD = 7.7973 HKD)
