HNA Group has officially handed over control of its core airline operations to Liaoning Fangda Group Industrial, marking the end of an era for the Chinese conglomerate as it continues to restructure one of the country’s biggest piles of corporate debt.
Gu Gang, head of a government taskforce in charge of HNA’s restructuring, will no longer serve as the group’s leading secretary for the Communist Party after the key handover of Hainan Airlines Holding, the company said in a statement on social media. The taskforce will continue its remaining work in handling the group’s reorganisation, according to the statement.
“We wish Hainan Airlines and all the brother airlines a safe landing, and rebirth after nirvana!” the group said.
The handover is the latest step in the long dissolution of one of China’s biggest conglomerates. HNA acquired luxury properties and major stakes in firms from Deutsche Bank to Hilton Worldwide Holdings several years ago after a rapid expansion that saw it amass around $310 billion of debt.
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