Could Congress undo HNA’s US acquisitions?

Lawmakers call for stricter oversight of Chinese conglomerate

TRD New York /
Dec.December 21, 2017 06:07 PM

Rep. Robert Pittenger (R., N.C.) and HNA’s CEO Adam Tan (Credit: HNA)

Federal lawmakers are calling for more stringent oversight of HNA Group’s U.S. acquisitions and might even go as far as taking back approval of some earlier deals.

Earlier this month a U.S. company called Ness Technologies sued HNA. It alleged that the Chinese conglomerate shared “knowingly false, inconsistent, and misleading information” about its ownership and government ties to federal agencies, which were reviewing HNA’s planned acquisition of a Ness subsidiary. The deal ultimately fell apart.

“If these allegations are true, the government should consider using its ability to suspend future HNA transactions or retroactively reopen previous HNA agreements,” Rep. Robert Pittenger told the Wall Street Journal.

Meanwhile lawmakers are pushing a bipartisan bill that would give the Committee on Foreign Investment in the U.S. (CFIUS) more power to investigate and possibly block deals.

“The claims raised by Ness are further proof that Congress needs to enact long-overdue CFIUS reform, which include increasing the resources available to fully investigate transactions,” Rep. Rosa DeLauro told the Journal.

HNA has been an active investor in New York’s real estate market in recent years and shelled out $2.2 billion for 245 Park Avenue in May, the priciest building sale in the city this year. [WSJ] — Konrad Putzier


Related Articles

arrow_forward_ios
Nuveen CEO Vijay Advani, Blackstone President & COO Jonathan Gray and one of the Texas properties

Blackstone just sold off a 29M sf national industrial portfolio

The purge continues: WeWork’s head of real estate is leaving

Judith and Rudy Giuliani Rudolph and Judith Giuliani are divorcing after 16 years. (Credit: Getty Images, Trulia, Highrises)

Luxury properties at play in Rudy Giuliani’s ugly divorce

Governor Andrew Cuomo and Senator James Skoufis (Credit: Getty Images, NY Senate)

Owners of some residential properties can’t hide behind
LLCs anymore

Jimmy Van Bramer (Credit: NYC.gov, iStock)

After failing to meet his own deadline, Queens council member returns thousands in real estate donations

General contractors are suffering under Trump’s new tariffs on Chinese goods

The Real Deal picked up 9 awards from the National Association of Real Estate Editors

The Real Deal wins 9 NAREE journalism awards

Resi brokers remain resolute in face of Connecticut’s new “mansion tax”

arrow_forward_ios