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Bank of America Halts Deals With HNA Amid Debt Concerns

  • Citigroup, Morgan Stanley also avoiding deals with China firm
  • Banks said to find it hard to get internal approvals to lend
A customer enters a Bank of America Corp. financial center in Miami, Florida, on Jan. 5, 2017.

A customer enters a Bank of America Corp. financial center in Miami, Florida, on Jan. 5, 2017.

Photographer: Scott McIntyre/Bloomberg
Updated on

Bank of America Corp. has told investment bankers to stop working on transactions with HNA Group Co. for now amid growing concerns about the acquisitive Chinese conglomerate’s debt levels and ownership structure, according to people familiar with the matter.

The U.S. investment bank joins other Wall Street firms, including Citigroup Inc. and Morgan Stanley, that are largely steering clear of advising and financing the group on deals because they are unable to get internal approvals from “know your customer” committees, the people said, asking not to be identified because the information is private.