Investing.com - Chinese conglomerate HNA Group is reportedly in talks with state-backed bad debt manager China Cinda Asset Management Co Ltd (HK:1359), to tackle asset disposals, according to sources cited by Reuters.
HNA Investment Group Co Ltd (SZ:000616)’s shares in Shenzhen fell 6.15% to CNY2.90 by 11:20 PM EST (04:20 GMT). Shares in CWT International Ltd (HK:0521), HNA’s Hong Kong-listed company, rose 1.25% to HKD0.16.
Cinda’s shares in Hong Kong dropped 0.97% on Friday morning in Asia to HK$2.05 by 11AM EST (04:00 GMT).
Reuters reportedly received a memo from sources familiar with the matter that shows HNA’s vice president Dennis Chen met with Cinda President Chen Xiaozhou on Tuesday to discuss potential cooperation.
“Cinda will continue to support HNA’s strategic transformation and its asset disposals in core and auxiliary businesses. Especially when HNA is in a relatively difficult time, there is all the more reason for us to increase our support,” Cinda’s president was quoted as saying.
HNA’s aviation unit Hainan Airlines Holding recently announced a plan to sell 40% of Urumqi Air. After the transaction, Hainan will hold only 30% of Urumqi’s shares.
The group also put a fleet of its luxury private jets on sale in October, including its subsidiary Deer Jet’s “Dream Jet”, a widebody Boeing (NYSE:BA) 787 that can be chartered for $70,000 per hour, according to Bloomberg.