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 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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