Dry CargoGreater China

CSC Phoenix sale in doubt

The sale of Chinese dry bulk operator CSC Phoenix is now in doubt following a dispute between Tianjin Shunhang Shipping, the controlling shareholder of the company, and the proposed buyer Guangzhou Wenhua Furui.

In April, Tianjin Shunhang Shipping signed an agreement to sell its 17.89% holding in CSC Phoenix to Guangdong Wenhua Furui for RMB1.9bn ($274m).

Shenzhen Stock Exchange later questioned the deal and requested explanation from Guangdong Wenhua Furui on the basis and rationality of pricing in the deal.

According to CSC Phoenix, a disagreement has surfaced where Wenhua Furui claims Tianjin Shunhang has not fulfilled the contract terms requiring the reaching of debt settlement agreements with creditors.

CSC Phoenix said the company has urged the parties to solve the issues soon in order to facilitate the deal, however so far the parties have yet reach an agreement and the deal is at risk of being terminated.

Jason Jiang

Jason is one of the most prolific writers on the diverse China shipping & logistics industry and his access to the major maritime players with business in China has proved an invaluable source of exclusives. Having been working at Asia Shipping Media since inception, Jason is the chief correspondent of Splash and associate editor of Maritime CEO magazine. Previously he had written for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week.
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