Chinese Premier Li Keqiang and Spanish Premier Minister Rajoy witnessed the signing of a memorandum about the joint venture founded by HNA Hospitality Group and the Spanish hotel group NH.

As one of the important agenda of the Kingdom of Spain Prime Minister Mariano Rajoy’s visit to China, a signing ceremony of the joint venture founded by HNA Hospitality Group and the Spanish hotel group NH was held on September 25 at the Great Hall. In the presence of Chinese Premier Li Keqiang and Spanish Prime Minister Mariano Rajoy, the President of the Board of Directors of HNA Group, Chen Feng and the president of NH Hotels Group, Rodrigo Echenique signed a memorandum of understanding with China’s HNA Group Co. for the joint management of a significant portfolio of HNA and third-party hotels in the middle and upper-middle segments in China, Hong Kong, Taiwan and Macao. This marks that the NH brand officially entered into the Chinese market.

The HNA Hospitality Group was founded in 1997 by the Hainan Airlines. Through the years, the hotel group won several awards among which were the Worldwide Hotel Corporation Top 300, the Most Competitive National Hotel Brand in China and the Best Hotel Management Corporation in China.

The joint venture, which would be 49%- and 51%-owned by NH and HNA, respectively, would be incorporated with initial share capital of US$20 million, out of which NH would provide US$4.9 million at the time of incorporation. If necessary, and so agreed, NH would make a second capital injection of the exact same amount in two years.