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Mergers & Acquisitions
BusinessChina Business

Chinese conglomerate Fosun International sells German private bank HAL to ABN Amro for US$731 million to boost liquidity

  • Company aims to cut its debts by 10 billion yuan (US$1.38 billion) annually in the next two to three years
  • The deal, the second asset sale conducted by Fosun in Europe since mid-April, is expected to close in the first quarter of 2025

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German private bank Hauck & Aufhauser Lampe (HAL) in Munich. The acquisition will increase ABN Amro’s assets by €26 billion (US$28 billion). Photo: Handout
Daniel Renin Shanghai
Fosun International, one of China’s largest private-sector conglomerates, has accelerated its pace of asset disposal after agreeing to sell German lender Hauck & Aufhauser Lampe (HAL) to Dutcj bank ABN Amro for €672 million (US$731 million).
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Shanghai-based Fosun, controlled by Chinese billionaire Guo Guangchang, announced on Tuesday that the proceeds of the sale will be used to replenish general working capital.

The deal, the second asset sale conducted by Fosun in Europe since mid-April, is expected to close in the first quarter of 2025. Last month, Fosun sold an 8.2 per cent stake in Belgian insurer Ageas to BNP Paribas for €670 million.

The divestment aims at streamlining Fosun’s portfolio and “enhancing [our] asset-light operation strategy”, the company said in a filing to the Hong Kong stock exchange. “It also demonstrates the company’s continuous efforts to create maximum value for its shareholders.”

Fosun reduced its interest-bearing debts, such as bank loans and corporate bonds, by 15 billion yuan (US$2 billio) to 211.9 billion yuan in 2023, according to its earnings report. Photo: Reuters
Fosun reduced its interest-bearing debts, such as bank loans and corporate bonds, by 15 billion yuan (US$2 billio) to 211.9 billion yuan in 2023, according to its earnings report. Photo: Reuters

Fosun, which is involved in a wide range of industries including tourism, pharmaceuticals, real estate and financial services, aims to cut its debts by 10 billion yuan (US$1.38 billion) annually in the next two to three years, co-chairman Wang Qunbin said during an earnings briefing on March 28.

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An asset-light strategy refers to a business model under which a company has only a small amount of fixed assets on its balance sheet.

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