HNA extends M&A spree with Gategroup purchase

China's HNA Group Co Ltd has agreed to buy Swiss airline catering firm Gategroup Holding AG for $1.5 billion in cash, as the aviation and shipping conglomerate steps up its global expansion.

The deal adds to a string of overseas acquisitions for privately owned HNA, which include plans announced in February to buy US-listed electronics distributor Ingram Micro Inc for $6 billion and the $2.5 billion purchase of Irish aircraft lessor Avolon Holdings Ltd last year.

HNA, which operates more than a dozen airlines including its flagship carrier Hainan Airlines Co, is offering 1.4 billion Swiss francs ($1.5 billion) or 53 Swiss francs per share for all of Gategroup's outstanding shares, a 17 percent premium to the catering firm's last trading price.