By Zoey Zhang and Brenda Goh
By Zoey Zhang and Brenda Goh
BEIJING/SHANGHAI, Feb 20 (Reuters) – Shares in associates of HNA Group surged on Thursday following a information report that China plans to take over the debt-laden conglomerate because the coronavirus outbreak has additional hit its capability to fulfill monetary obligations.
The federal government of the southern province of Hainan, the place HNA HNAIRC.UL is predicated, is in talks to take management of the group and unload its airline property, Bloomberg stated on Wednesday, citing individuals acquainted with the matter.
HNA, which controls or holds stakes in numerous home carriers together with its flagship Hainan Airways 600221.SS, didn’t instantly reply to requests for touch upon the report.
China’s aviation regulator stated final week it could help restructuring or mergers to assist airways deal with the fallout of the epidemic, which has prompted carriers to cancel hundreds of flights.
The Bloomberg report stated that beneath the…