Qatar Airways Buys Cathay Pacific Stake
Qatar Airways has bought 9.6 percent of Hong Kong’s Cathay Pacific Airways, adding to its expanding list of airline stakes.
The Cathay stock was acquired from Hong Kong’s Kingboard Chemical Holdings for HKD$5.16 billion (USD$661 million), and means Qatar Air becomes Cathay’s third biggest shareholder after Swire Pacific and Air China.
Qatar Airways Group chief executive Akbar Al Baker said, “Cathay Pacific is a fellow oneworld member and is one of the strongest airlines in the world.” He said it has “massive potential for the future.”
The Cathay acquisition adds to Qatar Air’s portfolio of airline stocks. It already holds a 20 percent stake in British Airways and Iberia parent International Airlines Group, a 10 percent investment in LATAM Airlines Group and 49 percent of Italian carrier Meridiana.
Cathay chief executive Rupert Hogg said the two airlines already work closely as members of the oneworld alliance “and we look forward to a continued constructive relationship.”
Qatar Airways abandoned a bid to buy a 10 percent stake in American Airlines in August after the US carrier’s CEO Doug Parker opposed any acquisition by the Middle East airline.