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HNA said to seek more arrangers for delayed property IPO

Bloomberg Published on Sun, Jul 30, 2017 / 4:08 AM GMT+8

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(July 29): HNA Commercial REIT is seeking to add arrangers to its planned Singapore initial public offering as Bank of America Corp. walks away from the deal, people with knowledge of the matter said.

The property trust, backed by embattled Chinese conglomerate HNA Group Co., has been reaching out to investment banks to gauge their interest in taking a senior role on the deal alongside DBS Group Holdings, according to the people. The listing, which was slated to seek more than $400 million, will be delayed at least until the autumn, one of the people said, asking not to be identified because the information is private.

HNA Group said July 22 that Bank of America’s participation in an unspecified investment trust IPO involving one of its units was terminated for “commercial reasons.” HNA Commercial REIT had been planning to gauge investor demand in mid-June and complete the offering in July, people with knowledge of the matter said last month. It will be backed by commercial properties in Australia, Singapore and London worth about $1 billion, according to the people.