Hainan Airlines Holding to Inject $106.5M Into HNA Cargo

Hainan Airlines Holding has approved a capital injection of CNY 750 million (USD 106.5 million) into its cargo affiliate HNA Cargo, strengthening the unit’s balance sheet and supporting a broader strategy to integrate belly-hold and dedicated freighter operations. The move was confirmed in a filing with the Shanghai Stock Exchange.

The transaction was approved at an extraordinary general meeting of shareholders held on December 17, 2025. As part of the deal, Hainan Airlines Holding will acquire a 16.2% equity stake in HNA Cargo. Of the total investment, CNY 50.2 million (USD 7.1 million) will be added to registered capital, while the remaining CNY 699.8 million (USD 99.5 million) will be booked as capital reserves.

According to the filing, the capital injection is intended to reinforce HNA Cargo’s financial position, support debt restructuring efforts, and enhance operational synergies between passenger airlines’ belly-hold capacity and specialised freighter services. Cargo has become an increasingly strategic segment for Chinese airline groups as they seek to diversify revenues and mitigate volatility in passenger demand.

Founded in 2010, HNA Cargo is primarily owned by HNA Aviation Group, which will see its shareholding diluted from 92.4% to 77.4% following the capital increase. Despite the dilution, HNA Aviation Group will remain the controlling shareholder. The transaction also reflects a gradual rebalancing of ownership within the wider HNA aviation ecosystem following its restructuring in recent years.

Earlier in 2025, HNA Cargo acquired a 77.9% controlling stake in Suparna Airlines, with the shares transferred from the parent group. This move consolidated freighter operations under the cargo unit and strengthened its position as the group’s central cargo platform.

HNA Cargo relies heavily on the belly-hold capacity of airlines within the HNA Aviation Group, including Hainan Airlines, Capital Airlines, and Lucky Air. These passenger carriers provide extensive domestic and international networks that feed cargo traffic, particularly on widebody routes.

In parallel, HNA Cargo maintains close operational links with dedicated freighter operators such as Suparna Airlines and Tianjin Air Cargo, both of which operate Boeing narrowbody and widebody freighters. By combining belly-hold lift with freighter capacity, the group aims to optimise utilisation, improve network flexibility, and enhance competitiveness in China’s increasingly contested air cargo market.

The capital injection underscores Hainan Airlines Holding’s intent to position cargo as a core growth pillar, supporting long-term resilience and diversification as global air freight demand continues to evolve.

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Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com