Financial News
Written by: Huang Jie
2021-01-28 09:28
Last update date: 2021-01-28 09:28
Cathay Pacific (0293) announced that it proposes to issue 6.74 billion yuan of guaranteed convertible bonds, maturing in 2026, with an annual interest rate of 2.75%.
The initial conversion price of the bond is 8.57 yuan per share, a 30% premium to Cathay Pacific’s closing price of 6.59 yuan yesterday (27th).
Affected by the news, Cathay Pacific opened at 6.25 yuan, down 5.16%, with a turnover of 6.71 million yuan.
The net proceeds from the subscription will be approximately 6.68 billion yuan, which is intended to be used for general corporate purposes.
The board of directors believes that the issuance of bonds can further strengthen the company's liquidity and enrich its working capital, so that the company can effectively respond to the challenges posed by the global pandemic of the new coronavirus.
Cathay Pacific