Rongsheng Heavy Industries sale looms

Rongsheng Heavy Industries sale looms

Shanghai: Hong Kong-listed Chinese shipyard Rongsheng Heavy Industries, which has officially changed its name to China Huarong Energy, has announced that it is in advanced talks with a listed company in China regarding the sale of the shipyard’s assets.

Rongsheng said the negotiations are currently under good progress and the group has already obtained letters of consent from various major creditor banks, according to which the major creditor banks have conditionally agreed to various matters in relation to the disposal of assets and liabilities of the yard.

RSHI announced in March that it had entered a memorandum of understanding with a potential buyer to sell its shipbuilding and offshore engineering businesses. The MOU will remain in effect until 30 June and is likely to be extended by the two parties.

Rongsheng’s stock price increased by 15.48% following the announcement.

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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