Parent group to aid Sainty Marine

Parent group to aid Sainty Marine

Shanghai: Financially troubled Sainty Marine has announced that its parent Jiangsu Sainty International Group has proposed to offer RMB200m ($32.22m) to ease cash flow pressure on the shipyard.

The RMB200m will be used to establish a fund pool, which will be used to repay bank loans in order to maintain the credit level of the yard.

Sainty Marine said the financing situation would be stabilized if the proposal can be implemented.

In the meantime, Sainty Marine said its total loan arrears have accumulated to RMB11.58m ($1.86m).

Sainty Marine has been working on the restructuring of Nantong Mingde Heavy Industry since December 2014 and has suffered a series of newbuild cancellations lately due to its inability to deliver ships on time.

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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