China’s HNA sells Pactera to state-owned CEC for $750m

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

Embattled Chinese conglomerate HNA Group Co. has agreed to sell control of its tech outsourcing unit to China Electronics Corp. in a deal valued at about $750 million, people with knowledge of the matter said.

State-owned China Electronics signed an agreement with HNA this week on the purchase of Pactera Technology International Ltd., according to the people, who asked not to be identified as the information is private. The sale of Pactera had attracted interest from other suitors, including Digital China Group Co. and Tech Mahindra Ltd.

HNA has been offloading assets from hotels to a container unit to pay down debt. It was weighing a sale of its majority stake in oil storage and logistics business HG Storage International Ltd., Bloomberg News reported in March. It was also considering to revive a sale of its container-leasing business Seaco, people familiar with the matter have said.

The Chinese conglomerate’s ownership of Pactera dates back to 2016, when it agreed to buy the company from Blackstone Group LP for about $700 million. Pactera has had funding difficulties in the past, illustrating how HNA is struggling to cope with the debt burden amassed during a $40 billion takeover spree.

A representative for HNA declined to comment, while a representative for China Electronics didn’t immediately respond to requests for comment.

Bloomberg

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.

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.