(June 11): Hainan Airlines Holding Co. plans to raise as much as 7 billion yuan ($1.5 billion) by selling shares to investors, including an arm of Singapore state investment company Temasek Holdings, as part of a restructuring planned by the unit of Chinese conglomerate HNA Group Co.

The Haikou, Hainan-based carrier is selling up to 20% of its Shanghai-listed shares to 10 investors, the company said in a statement on June 9. Proceeds from the sale will be used to fund plane purchases, aviation training, maintenance and airport business.

The stake sale announcement follows two months after Temasek and the indebted HNA group said they were exploring partnerships in areas including aviation, logistics and airport infrastructure. Hainan Airlines’ restructuring plans involve consolidation of HNA’s various aviation assets under one umbrella and the carrier has said it is looking to buy stakes worth 10.5 billion yuan in HNA subsidiaries engaged in related businesses.

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