Chinese dry bulk operator CSC Phoenix has announced that its controlling shareholder Tianjin Shunhang Shipping has signed a letter of intent with Guangdong Wenhua Furui Investment for the sale of all its 17.89% shares in the company for about RMB1.9bn ($274m).
Tianjin Shunhang took over bankrupt CSC Phoenix from state run logistics giant Sinotrans & CSC for RMB1bn in 2015 and attempted to restructure the company’s business to dredging. However, the restructuring failed in September 2016 as Tianjin Ganghai was not able to gain qualifications as an EPC service provider and approval for overseas services.
Tianjin Shunhang Shipping’s shares in CSC Phoenix have been frozen by Tianjin Intermediate People’s Court due to a debt dispute, which CSC Phoenix said could create uncertainties for the share transfer deal.
Guangdong Wenhua Furui Investment is mainly engaged in the businesses of automobile trade and real estate.
If the deal goes through, Guangdong Wenhua Furui will become the third owner of CSC Phoenix in less than three years.