HNA Group, one of the largest conglomerates in China, has commenced a massive bankruptcy restructuring process involving 321 subsidiaries.
The restructuring follows creditors of the group filing applications with the People’s High Court in Hainan calling for the group’s bankruptcy due to its huge debt crisis with total liabilities amounting to RMB700bn ($107bn).
HNA’s flagship business is Hainan Airlines, the largest private airline in China. The group also has ventures in multiple other sectors including shipping, technology, tourism, real estate and finance.
According to the court files, there are eight shipping and shipbuilding related subsidiaries involved in the restructuring including units of HNA Cruises and Jinhai Shipyard. VesselsValue data shows the shipyard currently has an orderbook of nine vessels made up of five panamax containerships and four VLCCs.