+86-21-61406313
Login query
Login query
Taiping shipping announced sale of headquarters building
Aug 26, 2020|
View:481While anxiously waiting for the Singapore government to inject capital urgently, the Singapore shipping company, Pacific Shipping (PIL), has recently officially listed its headquarters building for sale, which is also the latest asset sold by Taiping shipping.
Foreign media related reports:
According to local media reports in Singapore, Taiping shipping headquarters, located in the center of Singapore's central business district, was built in the 1980s with a height of 17 floors. The price tag for the building is S $350 million, or about US $252 million.
However, helionia capital management, a unit of Singapore's state-owned capital giant Temasek Holdings, is planning to inject $450 million into Taiping shipping to help it pay charter fees and overdue fuel costs.
However, there are also views that this amount is not enough to keep Taiping shipping in operation, as it only accounts for one tenth of the current total debt of Taiping shipping of US $3.9 billion.
In addition, it is also analyzed that Zhang Songsheng, the current managing director of Taiping shipping, may lose control of the company due to the dilution of shares of the Zhang family, the controller of Taiping shipping.
In fact, for the past 18 months, Taiping shipping has been in a state of paying off debts and selling assets.
In January 2020, some media disclosed that due to the delay in payment to fuel suppliers, Taiping shipping was facing a shortage of low sulfur oil supply and the ship might be detained.
In February 2020, Taiping shipping announced that in order to further optimize the network efficiency, Taiping shipping will withdraw from the trans Pacific market. And will further enhance the South American market, including Africa, the Middle East / Red Sea, the Indian subcontinent, Latin America and Oceania.
In March 2020, it was revealed that Taiping shipping was selling its ships and other assets to help balance its assets and liabilities. Taiping shipping once sold its two 11923teu container ships to Wanhai shipping for a total price of about 186.8 million US dollars. It also sold its 60% stake in Pacific direct line (PDL) to get more capital.
In April 2020, Taiping shipping issued an official statement on "going to apply for bankruptcy", saying that the false information about bankruptcy and all the contents derived from it were fabricated.
In May 2020, sources said Temasek Holdings's investment company would invest in troubled Taiping shipping. But investment negotiations are still in the early stages. Subsequently, it was revealed that TPG had reached a six-month agreement with Temasek on potential investment to help TPG solve its debt and financial problems with creditors and suppliers. Now, it has been revealed that Taiping shipping will sell its building to survive. "Pandemic" may be the last straw to crush the camel.
