Rehabilitation of the debt-laden Korean bulk carrier operator Pan Ocean seems to be on track based on the recent financial highlights for the third quarter.
The company recorded a KRW196.2Bn (USD 191 million) profit for the quarter, compared to a loss of USD 533.92 million in the same period in 2013, according to a filling to Singapore stock exchange.
The company’s revenue amounted to USD 370.7 million whereas the operating profit was increased from a deficit of USD 147.6m, to USD 38.7 million.
According to Pan Ocean, the main factors that contributed to continued profit status from 2Q 2014 are changeover to lower cost structure and performance of rehabilitation plan through the on-going rehabilitation procedure.
Pan Ocean Co Ltd, formerly STX Pan Ocean, has been put up for auction and potential bidders will conduct due diligence during Nov 10-28, with binding bids due on Dec 11.
Potential bidders revealed by South Korea’s MoneyToday include chicken processing group Harim, Korea Line Corp (KLC), Deutsche Bank, US private equity fund KKR and Korea Investment Partners.
Pan Ocean entered court receivership in June last year, for the second time in two decades, after its parent company STX Group failed to sell the unit due to an ongoing downturn in the industry.
World Maritime News Staff