HNA Unit Hainan Airlines is increasing stakes in three carriers

Hainan Airlines, a unit of China’s HNA Group Co., moved to increase its stakes in three domestic carriers for 5.6b yuan (US$850m), continuing a buying spree as Beijing steps up scrutiny of the parent company’s acquisitions. Hainan Airlines plans to buy 10.3% of China Xinhua Airline Group, 37.6% of Changan Airlines and 49.4% of Shanxi Airlines from minority holders, the carrier said in a filing to the Shanghai stock exchange. Part of the investment is from another HNA affiliate, according to the filing. After the deal, Hainan will hold 62% of Xinhua, 73% of Changan and 97% of Shanxi. The Changan and Shanxi transactions require shareholder approval. The purchase is the latest step by the nation’s fourth-largest airline to grow through acquisitions without HNA’s backing. <br/>