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Hong Kong’s loss-making flagship airline reversed a six-day loss to close 0.2 per cent higher at HK.9 on Thursday after the announcement on Wednesday night that it will replace chief executive Ivan Chu Kwok-leung with chief operating officer, Rupert Hogg, on May 1.

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The airline’s share price surged as much as 3.5 per cent at one point during Thursday trade before settling back. JP Morgan reiterated its underweight position on the carrier, saying “Cathay’s misfortune is a result of changing market dynamics rather than its internal management”.

“Hence, the change of management is likely to have only a limited impact,” said Boyong Liu, an analyst with the investment bank.

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Last modified 21-Mar-2017 10:56