Hong Kong: Dry bulk operator Shagang Shipping has filed for liquidation with a Hong Kong court, adding to the recent wave of bankruptcies of dry bulk shipping firms.
Shagang Shipping joins three dry bulk shipping companies that have gone bankrupt, namely Dalian Winland Shipping, Korean owner Daebo Shipping and Danish owner Copenship.
Zhang Jie, sole director of Shagang Shipping, announced that a creditors’ meeting will be held on March 5. According to notice the company sent to Hong Kong Companies Registry, Fok Hei Yu and John Howard Batchelor of FTI Consulting HK have been appointed as joint and several provisional liquidators.
Shagang Shipping has been involved in a charter dispute against China’s HNA Group, in a case that has yet to be settled.
The company was established in 2004, with Jiangsu Shagang Group holding a 51% equity share in the company. Jiangsu Shagang Group no longer holds any equity in Shagang Shipping after two restructurings, in 2008 and 2012.