China’s HNA Group conglomerate is reportedly gearing up for another big aviation deal.
Reuters reports HNA is showing interest in acquiring Avianca Holdings and Avianca Brasil which are working with bankers to explore options, according to unnamed sources.
Avianca is currently owned by Synergy Group, which is headed by Bolivian Germn Efromovich.
However Reuters says the competition could be heating up with both United Continental And Delta Air Lines interested.
It also said Avianca’s chief financial officer Gerardo Grajales had flown to China to discuss the deal.
However the airline is giving nothing away.
"With the idea of exploring potential long-term strategic associations the company is taking advice from an investment bank," Avianca said in a filing.
HNA has already invested in the Brazil market with $450 million for more than 20% of Azul.
After news broke of a possible deal, Avianca Holdings’ shares surged 27%.
