How the Cathay Pacific bailout landed Clara Chan the CEO’s job at Hong Kong wealth fund
- Clara Chan’s role in the Cathay rescue earned her the nickname ‘goddess’ from some airline executives, while others called her ‘little chilli’ for being a tough negotiator
Chan’s handling of the Hong Kong flag carrier’s bailout within three months of the Covid-19 pandemic proved her mettle, which led her to be considered for the top job at the government-run HK$62 billion wealth fund last October, according to two sources familiar with the hiring process.
Back then, Chan was an executive director at the Hong Kong Monetary Authority, overseeing the HK$4 trillion Exchange Fund’s investments that included the Land Fund used to finance Cathay’s rescue.
“The negotiation of Cathay Pacific’s rescue plan was hard, as it had to be done within a short period of time,” Chan said in her first media interview after taking over at HKIC nearly eight months ago.
The terms and conditions of the bailout had to be tough, she said, noting that a balance had to be struck between the funding needs of the carrier and decent returns on taxpayers’ money.
