China’s Hainan Airlines up 5% in restructuring plan

Texas News Today

FILE PHOTO: On November 26, 2018, Hainan Airlines’ Airbus commercial airliner was photographed at Colomiers near Toulouse, France. Reuters / Regis Duvignau / FILE PHOTO

September 28, 2021

SHANGHAI (Reuters) – Hainan Airlines, the flagship airline of embarrassed Chinese conglomerate HNA Group, soared 5% on Monday after announcing an update on its restructuring program.

China’s HNA Group will receive a strategic investment of 38 billion yuan ($5.9 billion) after the restructuring and will invest in 11 entities, including major airline Hainan Airlines, sources told Reuters on Monday.

Hainan Airlines said in another statement on Monday that it would use funds from strategic investors and future operating profits to pay down its debt.

(Reporting by Brenda Goh; Editing by Tom Hogue)

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