China’s HNA Group Co. borrowed a third installment of cash against its stake in Hilton Worldwide Holdings during the month of December, the Wall Street Journal reports.
:quality(75))
The move came only a week after adding debt to its Deutsche Bank AGE stake and amid talks of disposing of several buildings and holdings in New York and Sydney. It will add an additional half a billion dollars of debt to a $3B share-backed loan that was initially used to purchase the 25% Hilton stake in late 2016 for an estimated $6.5B from private equity firm Blackstone Group.
HNA CEO Adam Tan said in November the company would get rid of assets after it came under scrutiny from the Chinese government for a spending spree that has led to roughly $40B in acquisitions since 2015. It will retain ownership of 245 Park Ave. in New York, which it purchased last year for $2.21B, The Real Deal reports.
To date, HNA confirmed it has approximately $100B in debt, with plans to sell an estimated $6B in real estate in an effort to begin paying it off, according to TRD.
)
)
)
)
)
)
)
)
){kind=logo}
)
)
)