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HNA Group sells Hilton Grand Vacations stake for US$1.1b
[HONG KONG] HNA Group Co sold its Hilton Grand Vacations shares for US$1.1 billion, the once-acquisitive Chinese conglomerate's latest asset disposal to repay debts.
HNA sold 22.3 million shares at US$46.25 a share, or 1.6 per cent below the stock's latest closing price, according to a statement late Wednesday. Separately, HNA sold 2.5 million shares back to the Orlando, Florida-based timeshare company for US$44.75 apiece. Overall, the shares were sold at 90 per cent above what HNA originally paid.
The deal, which is scheduled to be completed on March 19, represents the second Hilton spinoff that HNA is selling out of this month. The Chinese conglomerate disposes assets globally to repay debts after spending tens of billions dollars in a debt-fuelled buying spree that included stakes in Deutsche Bank and skyscrapers in New York.
HNA still owns about a quarter of Hilton Worldwide Holdings, a stake valued at US$6.7 billion.
HNA bought a quarter of Hilton Worldwide and two spinoffs - Park Hotels & Resorts and Hilton Grand- from Blackstone Group last year for about US$6.5 billion.