Aug. 17 (Bloomberg) -- Air China Ltd. will pay HK$6.34 billion for 491.9 million shares in Cathay Pacific Airways Ltd., buying the stock from Citic Pacific Ltd., the companies said in a joint statement today. Air China and Citic Pacific each held a 17.5 percent stake in Cathay before the transaction.

Swire Pacific Ltd. will buy 78.7 million shares in Cathay Pacific from Citic for HK$1.01 billion, increasing its stake in the airline to 42 percent. Air China’s stake will rise to 29.99 percent, the statement said.

Last Updated: August 17, 2009 07:36 EDT