EUROPEAN private equity firm PAI Partners said it agreed to sell air cargo handler Swissport International Ltd to China's HNA Group Co Ltd for CHF2.7 billion (US$2.8 billion).

Reuters had earlier this month reported that HNA, the owner of China's Hainan Airlines, was interested in buying Swissport.

The deal, which is expected to occur around the end of the year, marks PAI's exit from the ground handling and cargo services company it bought less than five years ago for CHF900 million.

Swissport, which operates in 48 countries, generates operating revenue of 3 billion Swiss francs and handles 4.1 million tonnes of cargo a year, PAI said in a statement.