HNA Group to sell stake in HK firm to Blackstone for $894m

Signage for HNA Group Co. is displayed atop the company's building in Beijing, China, on Thursday, Feb. 1, 2018. Photographer: Giulia Marchi/Bloomberg

China’s HNA Group is selling a controlling stake in its Hong Kong-listed construction firm to Blackstone Group for HK$7.02 billion ($894.31 million), according to a regulatory filing, the latest asset disposal by the embattled Chinese conglomerate.

Hong Kong International Construction Investment Management Group said in a filing late on Friday that Times Holdings II Ltd, a company controlled by Blackstone, has agreed to buy all the shares owned by HNA Group’s finance arm HNA Finance I, or 69.54 percent of the firm.

The purchase price represents HK$3 per share, a 14.5 percent premium over Hong Kong International Construction’s Friday closing price of HK$2.62. Blackstone has also offered to purchase the remainder of the shares in the market at the same price for a maximum of HK$3.7 billion, in compliance with exchange rules, though it does not intend to privatise the company, according to the same filing.

Faced with soaring debts and China’s crackdown on aggressive dealmaking firms, HNA Group has been offloading its assets that spans property to aviation.

Hong Kong International Construction, a property construction and investment firm, last month sold its last land parcel in Hong Kong.

HNA is in active discussion to sell its budget airline Hong Kong Express to Hong Kong’s Cathay Pacific Airways, the companies said last week.

Reuters

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.