Global leasing provider to take asset-light approach

Bohai Capital, a major global leasing company, announced it will take an asset-light approach to improve efficiency and prevent risk this year.

The company will introduce more strategic investors, sell the stock equity of branches with high leverage and purchase assets with low leverage, in a bid to decrease asset-liability ratio, said Zhuo Yiqun, chairman of the company, on Thursday.

"Deleveraging and risk control will still be major topics for the country's macro control policies and financial regulation this year. And the company will conform to the nation's call to further optimize asset structure," Zhuo said.

Shenzhen-listed Bohai mainly provides leasing services -- including of airplanes, containers, infrastructural facilities and large-scale equipment -- to clients from home and abroad, according to the company.

The company's gross assets reached over 300 billion yuan ($47.2 billion) last year, up about 38 percent year-on-year. Net assets that belong to shareholders of the parent company grew 1.57 percent to surpass 31.6 billion yuan, data from Bohai Capital showed.

The company's revenue increased about 48 percent to reach over 35.9 billion yuan in 2017, it said.

After previous mergers and acquisitions, the company transferred a large amount of assets in March.

Tianjin Bohai Leasing Co Ltd, a subsidiary of Bohai Capital, announced a transfer of stock equity valued at 1.65 billion yuan to its branch Wanjiang Financial Leasing Co Ltd.

Avolon Aerospace Leasing Ltd, another Bohai Capital subsidiary, also sold 41 leasable airplanes in March.

"In 2018, we will enhance integration of our leased assets, optimize the control system, decrease operation costs and improve efficiency," said Zhuo.