HNA's units are on a borrowing spree even as costs rise

Shanghai

UNITS of HNA Group are stepping up fundraising in the local bond market even as borrowing costs soar, adding to concerns about the Chinese conglomerate's debt burden.

Yunnan Lucky Air, a unit of Hainan Airlines Holding - HNA's flag carrier - sold a 270-day yuan bond to yield 8.2 per cent last week, the highest coupon rate ever for the Yunnan airline.