Debt-laden ABG Shipyard, having defaulted on loan repayments, will now have bankruptcy proceedings initiated against it, a court in India ruled yesterday.
More than 20 creditors have sent a petition for the liquidation of the company, according to local media source, Livemint. The local stock exchange has today sought clarification on Thursday’s bankruptcy hearings.
India’s largest private yard has been in dire financial trouble for a long time. Repeated efforts to get foreign investors interested have failed.
The next hearing is scheduled for 27 July.