June 11, 2018 / 1:24 AM / 2 years ago

Swire Pacific offers to take HAECO private for $382 mln

HONG KONG, June 11 (Reuters) - Swire Pacific Ltd said it planned to take unit Hong Kong Aircraft Engineering Co Ltd (HAECO) private for about HK$3 billion ($382 million), as low liquidity meant HAECO’s listing was no longer a worthwhile source of funding.

Swire said it would offer HK$72 per share, a 63.6 percent premium over HAECO’s previous close, to buy all outstanding shares it did not already own. The offer values the aircraft maintenance service firm at about HK$12 billion.

Swire holds 74.99 percent of HAECO, while independent shareholders hold the rest. The conglomerate said the move would save administrative and listing-related costs.

HAECO shares have fallen 12 percent so far this year. That compared with 3.5 percent gain in the Hang Seng Index. ($1 = 7.8463 Hong Kong dollars) (Reporting by Donny Kwok; Editing by Edwina Gibbs)

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