Four seas network: 25 years of rapid expansion of HNA Group is brewing a major change. From "buy, buy" to "sell, sell and sell", in just nine months, the reporter of Changjiang business daily did not fully count that its assets sold were close to 60 billion yuan.
What's going on with HNA's 60 billion assets?
HNA Group, which started from the aviation business, was only a small airline in Hainan and was at a disadvantage in the competition with Air China. However, it has developed a new way, relying on M & A to expand and increase leverage. In 2014, the group ranked among the Fortune 500, with total assets of more than 1.5 trillion in 2017, ranking 170.
In fact, HNA Group has a high debt ratio. According to incomplete statistics by the reporter of Changjiang business daily, the liabilities of 17 listed companies reached 616.31 billion yuan, among which 8 of 10 A-share companies had a significant increase in debt ratio (recently disclosed data).
According to an analysis by a large investment bank in Beijing, HNA Group, with high debt and leverage expansion, may face greater capital chain pressure in the context of deleveraging and risk screening, so it is important to sell off assets to survive. In addition, crazy M & A also brings digestion and integration problems, and it is inevitable to return to the main business.