CSSC losses lead to delisting risk

CSSC losses lead to delisting risk

China State Shipbuilding Corporation (CSSC), one of the two largest state-run shipbuilding conglomerates in China, has issued a warning to investors that shares of the company are at the risk of delisting due to two consecutive years of losses.

CSSC estimates that it will register a net loss between RMB2.2bn ($347.5m) and RMB2.5bn for the year of 2017, following a net loss of RMB2.6bn in the previous year.

The shipbuilder attributed the loss to the prolonged recession in both the shipbuilding and offshore market.

This week, CSSC announced a plan to bring in strategic investors for four subsidiary yards as part of its efforts to lower the debt ratio of the group.

Jason Jiang

Jason worked for a number of logistics firms following his English degree, then switched this hands-on experience to writing and has since become one the most prolific writers on the diverse China logistics industry writing for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week. Jason’s access to the biggest shippers with business in China has proved an invaluable source of exclusives.

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