Daewoo Shipbuilding & Marine Engineering (DSME) is pulling the plug on its Romanian subsidiary.
The South Korean yard, under pressure from creditors to offload assets to pare back its huge debts, has already intimated it will sell off Daewoo Mangalia Heavy Industries, the largest shipyard in Romania, which it bought into 19 years ago. Ahead of the sale, however, DSME has shifted a double suezmax order at Mangalia back to South Korea. The ships were ordered by Greece’s John Angelicoussis, in December 2014 for $130m in total.
There have been no bidders for Mangalia to date and its orderbook is running out. The Romanian government is under pressure to come up with a rescue package. The yard could be transformed into a repair facility when its orderbook runs out.
