C&H in financial peril

The South Korean yard of C& Heavy Industries (C&HI) was in dire trouble prior to the current global financial turmoil and is now struggling to offload assets to appease debtors. No one bid for its second shipyard on Koje Island in a public tender that ended last week, the group has revealed.

Put up for sale in the tender was Shinu Shipbuilding & Marine run by C&HI, an emerging shipbuilder. C&HI has won orders for seven Capesize bulkers (including those on option) for construction at Shinu, its second yard on Koje Island. Struggling to build the new yard let alone the ships on order, C&HI has failed repeatedly to issue bonds and is now looking to sell off Shinu to a fellow Koje shipbuilder.