Wedoany.com Report-Dec.29, Hainan Airlines Holding Co., Ltd. has received shareholder approval for a capital injection of CNY750 million (approximately USD106.5 million) into its affiliate, HNA Cargo. The decision was made during an extraordinary general meeting held on December 17, 2025, according to a filing with the Shanghai Stock Exchange.

The investment is designed to strengthen HNA Cargo's capital structure, support debt restructuring efforts, and enhance coordination between the passenger airline's belly-hold capacity and the specialized freighter operations of the cargo unit.

Following the transaction, Hainan Airlines Holding will acquire a 16.2% stake in HNA Cargo. Of the total amount, CNY50.2 million (USD7.1 million) will be used to increase registered capital, while the remaining CNY699.8 million (USD99.5 million) will be allocated to capital reserves.

HNA Cargo, established in 2010, is primarily owned by the parent company, HNA Aviation Group. After the capital increase, HNA Aviation Group's ownership in HNA Cargo will decrease from 92.4% to 77.4%. The cargo entity also maintains a 77.9% controlling interest in Suparna Airlines, which was transferred from the parent earlier in 2025.

HNA Cargo depends significantly on belly space provided by passenger carriers within the HNA Aviation Group, including Hainan Airlines, Capital Airlines (China), and Lucky Air (China). It also maintains close operational ties with dedicated freighter operators such as Suparna Airlines and Tianjin Air Cargo, both of which operate Boeing narrowbody and widebody freighter aircraft.

The company explained that the capital injection will enable HNA Cargo to better position itself to capture future growth opportunities in the air cargo market. The funding will come from internal resources and is not expected to affect the daily operations of Hainan Airlines Holding.

As of late October 2025, HNA Cargo reported total assets of CNY11.6 billion (approximately USD1.6 billion). For the first ten months of the year, the cargo unit achieved a net profit of CNY6.4 million (about USD910,000).

In addition to the capital injection, shareholders at the same meeting approved the election of a new board of directors. They also endorsed the elimination of the board of supervisors as part of measures to streamline corporate governance and improve operational efficiency.

The approved investment and governance changes reflect ongoing efforts to optimize resources within the HNA Aviation Group. By reinforcing the financial foundation of its cargo operations, the group aims to improve overall competitiveness in the expanding air cargo sector while maintaining balanced development across its passenger and freight businesses.