Swissport partially prepays term loans using loan repayment from HNA

By Tali Rackner

Minneapolis, May 8 – Swissport Financing Sarl prepaid a rateable portion of its existing term loans, including a portion of loans that were used to partially finance the acquisition of Aerocare, using funds received from a loan repayment from HNA Group Co., Ltd., according to a notice.

The acquisition was completed on March 7, strengthening Swissport’s market position, especially in Asia, where it sees attractive prospects, the company said.

Swissport received a $100 million (about €83 million) payment from HNA in partial satisfaction of HNA’s obligations under its outstanding loan owing to Swissport in the total original principal amount of roughly €360 million.

The payment leaves a remaining outstanding balance of about €285.7 million under the HNA loan, which was due for full repayment on May 7, according to the notice.

In connection with the $100 million payment, Swissport agreed to forbear from exercising remedies to collect the remaining unpaid balance for five months in exchange for the payment of a forbearance fee of €150,000, which was included in the $100 million payment.

Swissport is a Switzerland-based provider of ground and cargo handling services to the aviation industry. HNA Group is a Haikou City, China-based business conglomerate that focuses on tourism, logistics and financial services.

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