STX Dalian quits restructuring and goes into liquidation
Dalian: STX Dalian, the subsidiary shipyard of Korea’s STX Offshore & Shipbuilding, has said that the courts have terminated the restructuring process of the yard sending STX Dalian and its six subsidiaries into liquidation.
STX Dalian said the manager of the yard had been making efforts for the restructuring, however the yard has failed to send a restructuring plan to the court before the given deadline due to lack of potential investors.
Debt clearance with the employees will be the first priority of the liquidation, and the yard has now started to push the evaluation and sales of its assets.
A number of potential investors including the Dalian local government and Dalian Shipbuilding Industry showed interest to takeover the yard, but none of them could deal with the huge debts attached to the yard.
STX Dalian was established in 2007 and was the largest Korean investment project in Liaoning province, and received orders for 135 ships in total since its establishment.
Currently STX Dalian has debts of more than RMB24bn ($3.8bn) in total with around 740 creditors and salary arrears of RMB480m ($76.6m) to 5426 employees.