HNA Group Co. Ltd., a conglomerate in China and the parent company of the Hong Kong-listed CWT International (HK:0521) (formerly known as HNA Holding), is currently in talks to sell its 30% stake in Ireland’s aircraft leasing firm Avolon Holdings Ltd to Japanese financial services group Orix Corporation for about $2.2 billion, Reuters reported on Wednesday.
Sources from Reuters said a deal could be announced as early as Wednesday.
HNA bought Avolon in 2015 with $2.5 billion via its subsidiary, Bohai Capital Holding. Avolon has become the third biggest aircraft lessor in the world, after it purchased CIT Group in 2016.
In June, HNA sold part of its holdings in airline caterer Gategroup Holding, while it also closed down its Hong Kong-based unit, HNA Innovation Finance, as the company struggled to repay debts.
Orix’s aircraft leasing unit, Orix Aviation, is expected to expand its market share if the deal will be concluded, according to reports.