China's HNA Group, parent firm to Hainan Airlines (HU, Haikou) among others, is in talks to acquire Air Europa (UX, Palma de Mallorca), a wholly-owned subsidiary of Spanish firm Globalia Corporación, local paper El Confidencial has reported.
Sources who spoke to the paper on condition of anonymity claim talks between the two sides have already commenced and are being handled through the N+1 and Rothschild financial advisory firms.
However, despite initial progress, disputes over the airline's valuation have arisen with HNA reportedly putting it at EUR800 million (USD880 million) against Globalia's assessment of EUR1.2 billion (USD1.32 billion).
Aside from Air Europa, which accounts for almost half of its annual turnover, Globalia is also involved in the retail, wholesale, hotels and ancillary services sectors.
Majority-owned by businessman Juan Jose Hidalgo with 53.59%, Globalia's other shareholders include several of Hidalgo's relatives as well as Spanish banks Banco Popular and Unicaja with 9.9% and 7% respectively.
For its part, HNA Aviation's interests also include Grand China Air (CN, Haikou), Tianjin Airlines (GS, Tianjin), Lucky Air (China) (8L, Dali), West Air (China) (PN, Chongqing), Yangtze River Express (Shanghai Hongqiao), myCargo Airlines (Istanbul Atatürk) in Turkey, Africa World Airlines (AW, Accra) in Ghana, and Aigle Azur (Paris Orly) in France.
