HNA's Reit partner mulls reducing ties with firm

Singapore

HNA Group Co's partner in an overseas property trust is exploring ways to potentially scale back its ties to the embattled Chinese conglomerate, people with knowledge of the matter said.

AEP Investment Management Pte is weighing options for reducing HNA Group's involvement in the planned Singapore initial public offering of HNA Commercial Reit, which was going to be backed by about S$1 billion of properties from the two partners, according to the people. All possibilities are under consideration, including lowering the stake HNA Group would take in the trust and the company that manages it, the people said, asking not to be identified because the information is private.