HNA Group is raising cash with the sale of shares in Park Hotels & Resorts, in a secondary offering of its REIT stock which could raise US$1.3 billion.

Park Hotels & Resorts Inc is a publicly traded Real Estate Investment Trusts (REIT) which owns 55 luxury hotels and resorts, primarily in the United States but also in Europe and South America. Owned properties include the Hilton Berlin, New York Hilton Midtown, and Hilton Sao Paulo.

Over 70% of the portfolio is located in the central business districts of major cities, or resort or conference destinations.

HNA Group acquired a 25% stake in Hilton Worldwide Holdings in October 2016, paying US$6.5 billion for its stake. New York Stock Exchange-listed Park was established as an independent company in January 2017, following its spinoff from Hilton.

Barclays and J.P. Morgan are acting as joint book-running managers and representatives of the underwriters for the offering. UBS Investment Bank, Goldman Sachs, Morgan Stanley, Deutsche Bank Securities and Credit Suisse are also acting as joint book-running managers and underwriters for the offering. In addition, BofA Merrill Lynch is serving as an advisor to Park Hotels in connection with the offering.

HNA has also been disposing of plots of development land on the site of Hong Kong's former Kai Tak Airport, as its asset disposal programme proceeds at a rapid pace.

HNA acquired four plots of land at Kai Tak in government auctions held between November 2016 and March 2017. Against the background of a property boom in Hong Kong, HNA has been able to find buyers quickly among the big Hong Kong property developers, and make a profit on its original investment, raising some much-needed cash to reduce its heavy debt burden.