(Yicai Global) Nov. 29 -- Chinese aviation-focused conglomerate HNA Group Co. will adjust its overseas investments and M&A based on China's state policies following rapid expansion in recent years, says its vice-president and chief executive Tan Xiangdong.
Many of the firm's its projects have yielded good investment returns. For example, in October last year, the group acquired 25 percent of shares in Hilton Worldwide Holdings Inc. [NYSE:HLT] for USD6.5 billion, and so far, it has gained CNY2.1 billion (USD318.3 million) in profits related to the hotel giant, reported 21st Century Business Herald yesterday.
HNA Group also acquired Swiss airline catering company named Gategroup in April last year. It will go public next year and is expected to bring profits of CNY1.5 billion.
The firm has made adjustments to its investment endeavors, Tan Xiangdong said. Recently, the Group cleared more than 100 affiliated enterprises, adjusted its overseas assets allocation, sold some small-scale investment projects and real estate projects, while improving asset liquidity.
HNA Group has also agreed to sell 1.14 percent of the shares in NH Hotel Group. It is valued at an estimated EUR21.5 million, and HNA Group currently owns 29.5 percent of its shares, Reuters reported on Nov. 8.