The news comes after Zosco’s principal, Zhejiang Transportation Investment Group(Zhejiang Transportation), in July applied to have the company liquidated, citing debt issues.

While the company’s total assets are reported to be valued at RMB5.1 billion ($752 million), 14 major creditors are said to be claiming a total of approximately RMB10.9 billion ($1.6 billion).

Zosco, which sold two of it bulkers in July and currently has a fleet of ten, is said to have recently put a further four of its Capesize bulkers up for sale en bloc.

The court is said to be in the process of arranging an initial creditor’s meeting.

Zosco’s sister company, Zhejiang Shipping is also noted to be struggling financially, with its subsidiary, Wenzhou Shipping having recently been declared bankrupt.

 

Ship & Bunker News Team