Fangda Injects $1.6 Billion More to Keep Hainan Airlines Flying

The new owner of Hainan Airlines Holding Co. Ltd. (600221.SH), the onetime prize asset of failed conglomerate HNA Group, plans to inject more money into the carrier to ease its financial pain in the wake of Covid-19 lockdowns on the Chinese mainland, according to an exchange filing.

A subsidiary of parent Liaoning Fangda Group Industrial Co. Ltd. will buy 10.9 billion yuan ($1.6 billion) of shares in Hainan Airlines via a private placement. The proceeds will be used as working capital, the Hainan province-based airline said in the filing on Thursday.