STX Offshore & Shipbuilding will shed a third of its workforce and sell its cruise shipbuilding subsidiary in France. Officials from the yard attended a bankruptcy court hearing on Friday to outline its restructuring plans.
In total, 2,090 staff will be axed in the coming month, the yard said.
STX’s creditors will decide in October whether to accept STX’s restructuring plan. If the plan is rejected, the company would be liquidated.
The sale of STX France has been tricky, with a number of sale attempts failing, but the Wall Street Journal is now tipping German yard Meyer Werft, which has acquired STX Offshore’s facilities in Finland, as a potential buyer.
STX Dalian, a giant yard in northeast China, has failed to sell on numerous attempts too.