Qatar Airways Divests $896 Million Stake in Cathay Pacific

Qatar Airways Divests Stake in Cathay Pacific

Qatar Airways has announced the sale of its stake in Cathay Pacific Airways, marking the end of an eight-year relationship. This share buyback, valued at approximately $896 million, was officially reported through a stock market filing on Wednesday.

Following the announcement, Cathay Pacific’s shares increased by 4.2% on the Hong Kong Stock Exchange on Thursday, November 5, 2025.

Details of the Sale

Qatar Airways will divest all its holdings, which constitute 9.57% of Cathay Pacific’s total stock. Other significant shareholders include Swire Pacific and Air China, with the planned transaction awaiting approval from shareholders.

Patrick Healy, Chairman of Cathay Group, expressed confidence in the future of Cathay Pacific, affirming the airline’s commitment to developing the Hong Kong international aviation hub.

Comments from Leadership

While Qatar Airways did not officially comment on the transaction, Badr Mohammed al-Meer, CEO of Cathay Pacific, remarked that the decision reflects a disciplined approach to portfolio management. He emphasized their commitment to delivering sustainable value for shareholders.

Al-Meer noted that after a period of record profitability, this strategic move aims to optimize investments and ensure the group’s growth in the long term.

Background Information

Qatar Airways originally acquired its stake in Cathay Pacific in 2017 for around $662 million, at a time when the airline was facing significant challenges, including financial losses and job cuts. In contrast, Cathay Pacific recently reported a profit of $1.2 billion for the last fiscal year.

Aside from Cathay Pacific, Qatar Airways has stakes in various aviation companies including International Airlines Group and Virgin Australia, making it a significant player in the global airline industry.

Impact on Qatar Airways

Despite facing challenges during a lengthy boycott by four Arab nations and the global pandemic, Qatar Airways rebounded, achieving a profit of $2.15 billion in its latest fiscal year. The airline has played a crucial role in connecting East and West due to its strategic location in the Arabian Peninsula.

Given the ongoing developments, how do you think this change will affect the future of both Qatar Airways and Cathay Pacific?