News
Hong Kong government grants Cathay Pacific loan facility extension
June 8th 2021
Cathay Pacific said the Hong Kong Special Administrative Region (HKSAR) government will extend the drawdown period of a bridging loan facility for 12 months. Read More » The airline now has until June 8, 2022 to access the HK$7.8 billion (US$1 billion) facility, which it has not used since it was made available a year ago. Cathay Pacific CEO, Augustus Tang, said having the drawdown period extended provided more flexibility to manage liquidity. "We continue to be able to raise debt financing in the capital markets," Tang said in a statement. "This reflects the investing community’s confidence in our prospects as a leading airline. As we look to the future, it is critically important we continue to be agile, focus on prudent cash management and explore capital financing opportunities as they arise," he said. The airline’s liquidity balance was HK$28 billion at December 31, 2020. It also has raised HK$6.74 billion through a convertible bond issue in February and US$650 million via a medium term note issue.
