Research On Financial Strategy Optimization Of HNA Group

HNA Group successfully achieved rapid expansion of the Group 's scale through active mergers and acquisitions.However,as HNA Group was named by multiple departments,the capital chain problem became more and more serious,which forced it to sell nearly 100 billion assets to repay debts.The liquidity crisis has not been completely resolved.In early 2020,the Hainan Provincial Government announced that it would take over the HNA Group to help it carry out risk management.So this article is to study the reason why HNA Group is in such a difficult situation,explore the problems in its financial strategy,and propose corresponding optimization suggestions.Hope to help HNA Group to achieve stable and sustainable development in the follow-up operation process,and also provide reference for other enterprises or groups.This article will analyze the HNA Group using literature research methods,case analysis methods,comparative analysis methods,and qualitative and quantitative research methods.First,sort out the literature and theoretical basis related to financial strategy,financial performance and financial strategy matrix.Secondly,by introducing the HNA Group's overview,business scope,organizational structure and financial performance,it lays the foundation for subsequent financial strategy analysis.Thirdly,from the four aspects of financial strategy investment,financing,and dividend payment,a specific analysis was conducted to discover the problems in its financial strategy and evaluate it by constructing a financial matrix.Finally,according to the specific analysis of the financial strategy and the results of the financial strategy matrix,corresponding optimization suggestions are proposed.Through research the main findings of this paper are summarized as follows:(1)HNA Group lacked post-merger integration for newly acquired companies in the process of diversified M&A.At the same time,the profitability of the new business sector is weak,what decentralized group resources,resulting in the overall profitability of the group decline.(2)In the context of declining profitability of the HNA Group,the company used a large amount of debt financing to raise funds to complete M&A to achieve a diversified strategic layout.However,the high financing cost increased the Group's financial risk.(3)HNA Group's financial strategy matrix is in a state of loss-making capital shortage,so it is urgent to improve its overall profitability to solve the shortage of funds.Based on the above findings,on the one hand,this paper proposes that in the subsequent development process,HNA Group can optimize its financial strategy through a series of means such as continuing to sell assets,improving the investment system,strengthening M&A integration,optimizing the capital structure,striving for government investment,and establishing an early warning mechanism Steady development.On the other hand,it provides reference experience for the formulation and optimization of financial strategies of other enterprises or groups.