Dry CargoGreater China

Zosco declared bankrupt

Zhejiang Ocean Shipping (Zosco), a major state-run dry bulk shipping company in Zhejiang, has been declared bankrupt by Hangzhou Intermediate People’s Court.

According to a court document Zhejiang Transportation Investment Group, the parent group of Zosco, applied with the court to liquidate the company due to debt issues.

So far, 14 major creditors of the company have declared around RMB10.9bn ($1.6bn) of debts in total, while the company’s total assets are worth just RMB5.1bn ($752m). The court will arrange the first creditor’s meeting soon.

Zosco recently put four capsize bulkers up for sale en bloc following the sale of two bulkers earlier in July. It currently has a fleet of ten bulkers.

Zosco’s sister company, Zhejiang Shipping, is also suffering from a debt crisis and Wenzhou Shipping, a subsidiary of Zhejiang Shipping, was declared bankrupt by a court last week.

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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