HNA Group Co.’s partner in an overseas property trust is exploring ways to potentially scale back its ties to the embattled Chinese conglomerate, people with knowledge of the matter said.

AEP Investment Management Pte is weighing options for reducing HNA Group’s involvement in the planned Singapore initial public offering of HNA Commercial REIT, which was going to be backed by about S$1 billion ($735 million) of properties from the two partners, according to the people. All possibilities are under consideration, including lowering the stake HNA Group would take in the trust and the company that manages it, the people said, asking not to be identified because the information is private.

AEP has begun reaching out to other potential partners to gauge their interest in taking a role backing the property trust, the people said. The Singapore-based company, which started preparations for the listing last year before bringing in HNA Group, is also considering whether to reduce the trust’s reliance on real estate from the Chinese firm, the people said. HNA Group was slated to initially contribute one property to the REIT, while AEP was going to provide four assets, according to a June exchange filing.

Shares of HNA Investment Group Co., a publicly traded arm of the Chinese conglomerate that’s backing the REIT, fell as much as 3.5 percent in Shenzhen trading Tuesday, the biggest intraday decline in three weeks. The benchmark Shenzhen Composite Index was little changed at 9:43 a.m. local time.

The HNA Commercial REIT offering will be postponed as AEP works out its future relationship with its Chinese partner, according to the people. For now, AEP intends to keep some level of involvement with HNA Group, the people said. No final decisions have been made, and it’s possible AEP will decide not to make any changes to the deal structure, the people said.

“HNA’s cooperation with AEP is normal,” the Chinese conglomerate said in an emailed statement. “The information in this story isn’t in line with the actual situation.”

Assessing Risks

A representative for AEP didn’t respond to phone calls and an email seeking comment. The companies are still aiming to complete the offering this year, though it could slip into 2018, the people said.

Several of HNA Group’s deals have faced challenges since Chinese regulators began assessing the risks that the company and other serial dealmakers pose to the nation’s financial system. HNA Group has been fielding additional questions from banks working to finance its proposed $1 billion takeover of Singapore logistics operator CWT Ltd., while U.S. officials are examining its proposed purchase of Anthony Scaramucci’s SkyBridge Capital.

HNA Investment announced in March it planned to buy at least a 35 percent stake in a REIT that will list in Singapore, as well as 75 percent of a trust management company formed with AEP. The IPO was slated to raise more than $400 million, people with knowledge of the matter have said.

The trust started seeking more arrangers for the planned offering after Bank of America Corp. decided to walk away from the deal, people with knowledge of the matter said last week. HNA Commercial REIT had been planning to gauge investor demand in mid-June and complete the offering in July, people with knowledge of the matter have said.

Any deal will add to the $2.1 billion raised in Singapore initial public offerings this year, up from $1.7 billion during the same period in 2016, according to data compiled by Bloomberg. HNA has made more than $40 billion of foreign acquisitions since the beginning of 2016, buying a stake in Deutsche Bank AG and snapping up 25 percent of Hilton Worldwide Holdings Inc.