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UPDATE 1-China's HNA pushes back against liquidity concerns, wont sell assets "blindly"

UPDATE 1-China's HNA pushes back against liquidity concerns, wont sell assets "blindly"
From Reuters - December 7, 2017

HONG KONG (Reuters) - Chinas HNA Group [HNAIRC.UL] sought to allay growing concerns that the massive conglomerate is facing a liquidity crunch and may need to dispose some recent acquisitions, including stakes in Deutsche Bank (DBKGn.DE) and Hilton (HLT.N).

Zhao Quan, head of HNAs tourism division and the groups newest board member, told Reuters on Friday in a telephone interview from Haikou city in southern China that adjustments in the groups portfolio had started earlier, and the company was not selling its holdings blindly.

HNA has not suddenly started to liquidate assets, said Zhao, who added the company has been disposing of non-core businesses in line with group strategy. Zhao dismissed outside speculation that the group is facing a liquidity crisis.

Zhaos comments come against a backdrop of a slew of repayment obligations and concerns about rising financing costs at the indebted airline-to-property conglomerate. HNAs $50 billion worth of deal-making over the past two years has sparked intense scrutiny of its opaque ownership and use of leverage.

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