Swire Pacific Finance Limited will issue HKD4.7 billion dollars (USD600 million) in zero-coupon exchangeable bonds linked to Cathay Pacific (CX, Hong Kong International) shares, according to a stock exchange filing dated June 9, 2026.

The bonds, guaranteed by Swire Pacific and arranged by J.P. Morgan, Morgan Stanley, and HSBC, are expected to settle on June 16, 2026, with maturity on June 16, 2027. Net proceeds are expected at approximately HKD4.652 billion (USD593.7 million) after fees and expenses.

Bondholders may exchange the securities into Cathay Pacific shares at an initial exchange price of HKD13.18 (USD1.7), representing a 2.9% premium to the June 9 closing price. Full conversion would result in up to 356.6 million shares, or approximately 5.9% of Cathay Pacific's issued share capital.

Swire Pacific stated it intends to use the capital for general working capital purposes.

While full conversion of the bonds would reduce its holding to approximately 39.2%, the conglomerate stated it remains committed to the carrier as its largest single shareholder and does not intend to alter Cathay Pacific's existing governance or management arrangements.

Following a previously reported disposal of a 2.5% stake at Cathay Pacific, Swire Pacific's shareholding dropped to 45.1% from 47.6% in March 2026.