Titan Petrochemicals hit by $217m debt claim from controlling shareholder

Titan Petrochemicals hit by $217m debt claim from controlling shareholder

Titan Petrochemicals has announced it has received a notification letter from a law firm representing the bankruptcy manager of its controlling shareholder Guangzhou Zhenrong Energy (GZE), which is currently in compulsory liquidation.

The bankruptcy manager claims that Titan Quanzhou Shipyard, the fully-owned subsidiary of Titan Petrochemicals, owes RMB1.465bn ($217m) to GZE and demanded repayment within seven days.

Titan Petrochemicals said it is now seeking professional advice to deal with the issue.

Oil trader GZE took over Titan Petrochemicals in 2012, saving the latter from bankruptcy. In 2017, the High Court of Hong Kong ruled to wind up GZE according to petitions filed by Industrial Bank.

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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