Hainan Airlines Selling Remaining Azul Stake
Hainan Airlines is selling its remaining shares in Brazilian carrier Azul, as parent HNA reduces debt built up during an acquisition spree.
The Haikou-based airline is offering to sell all of its 19.38 million American depositary shares, with each ADS equivalent to three preferred shares. At lunchtime Wednesday, Hainan’s stake in Azul was worth just over USD$321 million.
Azul and Hainan said they don’t expect the offering to result in any material change to the strategic plan or commercial relationship between them.
The sale is part of Hainan’s plan to raise capital through divestments, the company said.
Azul was the third largest airline in Brazil’s domestic market in 2017. In terms of international traffic, Azul was the second biggest with an 11.8 percent market share.