The troubled HNA Group is reported to be considering selling its container leasing business Seaco.
China’s HNA Group is again reported to be looking for a buyer for its container leasing business Seaco as HNA struggles to get its debt under control. HNA has this year missed some loan and bond repayment targets and, according to Bloomberg, is failing to cut its debt at the same pace as its cash reserve is falling, which is putting pressure on HNA to sell more assets.
The sale of Seaco was being discussed last year, but no deal ever eventuated. It was rumoured that HNA was not particularly keen to sell Seaco and gave up on the idea after failing to agree on an acceptable valuation for the company. However, it has been made known to Bloomberg that HNA is agin considering a sale, and may accept a lower bid than its target price of US$1 billion.