The Korea Development Bank (KDB) is in discussions with Hanjin Group to eek out a financial plan to give Hanjin Shipping enough cash to keep operating through to next year.
KDB, which last week went on the record saying it will cut its shipping and shipbuilding exposure on the back of public pressure, is willing to stump up around 20% of the KRW1.2trn ($1bn) the embattled Korean line needs to stay afloat through to 2017, so long as Hanjin Group comes up with the other 80%.
Hanjin Shipping is offloading assets as fast as possible to meet creditors’ demands. This includes overseas offices and terminals while 38 vessels – 20 boxships and 18 bulkers – will be returned to tonnage providers earlier than planned to cut the company’s chartering costs.
