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Chinese Giant HNA Buys 25% Stake in OM Asset Management from Old Mutual for $446M

Chinese Giant HNA Buys 25% Stake in OM Asset Management from Old Mutual for $446M

OMAM agreed to acquire a 60% equity interest in Landmark Partners, a global secondary private equity and real estate firm, for $240 million in cash. HNA Capital US is expected to appoint one director to the OMAM board after purchasing a first tranche of 9.95% of OMAM shares, and a second on the completion of the second tranche of 15% of OMAM shares. In both cases, these directors will replace existing nominees of Old Mutual. HNA Group, controlled by its founder and chairman Chen Feng, is a global Fortune 500 company focused on Aviation, Holdings, Tourism, Capital, Logistics and EcoTech. Since its founding in 1993, HNA Group has evolved from a regional airline based on Hainan Island into a global company with over $90 billion of assets, $30 billion in annual revenues and an international workforce of nearly 200,000 employees, primarily across North America, Europe and Asia. HNA’s tourism business is a fast-growing, vertically-integrated global player with market-leading positions in aviation, hotels and travel services. HNA operates and invests in nearly 2,000 hotels with over 300,000 rooms across major markets, and has 1,250 aircraft carrying over 90 million passengers to 260 cities worldwide. As reported by ExitHub last October, HNA agreed to acquire a 25 percent equity interest in Hilton Worldwide Holdings Inc. (NYSE: HLT), from New York global private equity firm Blackstone (NYSE: BX) for $6.5 billion, reducing Blackstone’s interest in Hilton to approximately 21 percent. Earlier in October 2016, Avolon Holdings Ltd., a subsidiary of Bohai Capital Holding Co. Ltd. (SLE: 415) controlled by HNA Group, agreed to acquire the CIT Commercial Air aircraft leasing business of New York-based CIT Group Inc. (NYSE: CIT), for $10 billion. Around the same time, HNA EcoTech said it agreed to acquire Beijing-based information technology (IT) outsourcing services provider Pactera Technology International Ltd. from New York global private equity firm Blackstone Group (NYSE: BX) and other shareholders. The purchase price was reportedly $675 million. In early August 2016, HNA Group agreed to invest $336 million in San Francisco-based RocketSpace, a leading technology accelerator campus and co-working space for high-growth startup, in a strategic joint venture deal to fuel RocketSpace’s global expansion, including China. A few days later, HNA’s subsidiary Hainan Airlines Co. Ltd. acquired a 24% stake in Brazil’s third largest airline Azul SA for $450 million, becoming its largest single shareholder. In February 2016, HNA agreed to acquire Ingram Micro Inc. (NYSE:IM) for $6 billion, the largest Chinese takeover of a US information technology company. Photo: Chen Feng, Founder & Chairman of HNA Group.]]>