HNA Group to undergo bankruptcy reorganisation

The Hainan High People's Court has ordered HNA Group to undergo a bankruptcy reorganisation after creditors filed a petition for this with the court after the HNA Group failed to pay off its debts to the creditors. During the bankruptcy proceedings, the Group's airlines will continue to operate.

In total the HNA Group owns more than 2,000 companies, many aviation related with large brands like Swissport, Hainan Airlines and Hong Kong Airlines. Over the last few years, the company has been struggling heavily financially and as a result became fully owned by the Hainan provincial government in February 2020.

As a result of the bankruptcy proceedings, the government of China is planning to downsize the HNA Group by selling all of its non-aviation subsidiaries and bring all the aviation entities under state-control.

Photo by Anton Homma.