HNA's Seaco Unit Is Said to Attract Orix, Ontario Teachers
HNA's Container Lessor Is Said to Attract Orix, Ontario Teachers
(Bloomberg) -- HNA Group Co.’s sale of container-leasing business Seaco has attracted potential bidders including Japanese financial firm Orix Corp. and Bermuda-based Triton International Ltd., people familiar with the matter said.
Seaco has also drawn preliminary interest from investment funds including Ontario Teachers’ Pension Plan, which owns rival lessor SeaCube Container Leasing Ltd., according to the people. The business could fetch $1 billion to $1.5 billion, the people said, asking not to be identified because the matter is private.
HNA is working with an adviser on the potential divestment of Seaco, which is controlled by the group’s Shenzhen-listed Bohai Capital Holding Co. unit, people familiar with the matter said in September. The Chinese group has agreed to sell more than $22 billion of assets this year, according to a Bloomberg tally, including stakes in Hilton Worldwide Holdings Inc. and Deutsche Bank AG, as it seeks to pare its massive debt load.
The conglomerate is also in talks to sell its airport-cargo handler Swissport International, which could fetch more than $3 billion, as well as a fleet of private jets, people familiar with the matter have said.
The sale process for Seaco is at an early stage, and the potential bidders could decide against pursuing offers, according to the people. HNA may still keep the business depending on the level of bids it receives, the people said.
Representatives for HNA, Ontario Teachers, Orix and SeaCube declined to comment. A representative for Triton didn’t respond to requests for comment.
Seaco offers dry freight, refrigerated, specialized and tank containers, according to its website. HNA and private equity firm Bravia Capital completed the $1.05 billion purchase of the company, formerly known as GE Seaco, in 2011 from owners including General Electric Co. In 2015, HNA acquired control of rival container lessor Cronos Ltd. and combined its business with Seaco.
To contact the reporters on this story: Manuel Baigorri in Hong Kong at mbaigorri@bloomberg.net;Takako Taniguchi in Tokyo at ttaniguchi4@bloomberg.net;Scott Deveau in New York at sdeveau2@bloomberg.net
To contact the editors responsible for this story: Ben Scent at bscent@bloomberg.net, ;Yuji Okada at yokada6@bloomberg.net, Timothy Sifert, Amy Thomson
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