Greater ChinaShipyards

Sainty Marine plays down liquidation talk

Financially troubled shipyard Sainty Marine, is still making efforts on its rescue plan and is expected to reveal details before February 6.

The Chinese yard has suspended stock trading since August 2014 to work on its rehabilitation.

At the end of December, a Nantong branch of Bank of China, a creditor of Sainty Marine, applied with Nanjing Intermediate People’s Bank to liquidate the shipyard. Sainty Marine has yet to receive the court ruling on the case.

Shenzhen Stock Exchange also requested Sainty Marine to provide an update on the shipyard’s ongoing rescue plan before January 7.

When contacted by Splash, an official at Sainty Marine said the company has already replied to the Shenzhen Stock Exchange as required but declined to reveal the content.

According to the official, a detailed rescue plan will be announced no later than February 6.

In the meantime, Sainty Marine said China Securities Regulatory Commission’s investigations on the company’s illegal activities on the stock market is still ongoing and it is facing the risk of delisting from the stock exchange if it is found guilty.

In October, Sainty Marine’s former president Wang Junmin and vice general manager Cao Chunhua, were arrested by authorities for embezzlement activities.

Sainty Marine is also involved dozens of court cases, with overdue loans amounting to RMB534m ($82.3m) in total, and 13 bank accounts of the company have been frozen due to debt issues.

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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