EuropeOperations

Oaktree cites ‘extremely challenging operating environment’ as Hansa Heavy files for insolvency

Oaktree, the American private equity backers of bust Hamburg line Hansa Heavy Lift, has cited the dire market conditions for its decision to wind up the seven-year-old company.

Hansa Heavy Lift became the latest high profile casualty in German shipping when it announced its insolvency on Monday. Founded in 2011, the company was an Oaktree supported continuation of another bust German heavylift name, Beluga Shipping.

In a statement sent to Splash, an Oaktree spokesperson told Splash on Monday: “Due to an extremely challenging operating environment in the global shipping industry, Hansa Heavy Lift filed for insolvency earlier today… [G]iven the ongoing structural challenges in the global heavy lift shipping sector, Oaktree is supportive of the company’s decision to file for insolvency and has decided not to make any additional capital investments in the business.”

Hansa Heavy Lift has a fleet of five ships, of which one has been arrested and detained in France. Court proceedings regarding the line’s insolvency are underway in Hamburg. Earlier discussions between Hansa Heavy officials and compatriot MPP firm Zeaborn failed to result in a takeover.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.

Comments

  1. Or could it be that institutional investors with zero affinity with the business they invest in fail to exercise shareholder and boardroom expertise? And so is allegedly also Euroports for sale?

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