China CSSC Holdings Facing Delisting amid Losses

Chinese shipbuilder China CSSC Holdings Limited, a unit of China State Shipbuilding Corporation, is facing a risk of being delisted from the Shangai Stock Exchange amid continued losses.

As informed, the company is expected to report losses between RMB 2.2-2.5 billion for 2017. This is the second year in a row that the company suffers poor business performance as in 2016 the shipbuilder reported RMB 2.6 billion loss.

In line with the listing rules of the Shanghai Stock Exchange, the company’s shares could be delisted, CSSC said in a regulatory filing.

Chinese shipbuilding sector has been hit hard by a prolonged downturn in the shipping industry as owners abstained from ordering amid tonnage oversupply and financial constraints stemming from the pulling out of banks from the market.

As a result, the shipbuilders have struggled to ensure financial stability as they turned to bringing in investors to salvage their ailing yards.

Just last week, China State Shipbuilding Corporation said that a capital injection worth USD 1.6 billion is expected to be secured from three new investors, those being China Life, CPIC Property and PICC, for four of its shipyards.

The yards expected to receive the cash injections are Shanghai Waigaoqiao, Chengxi Shipyard, Guangzhou Shipyard International and Huangpu Wenchong.

World Maritime News Staff

Share this article

Follow World Maritime News

In Depth>

Events>

<< Oct 2019 >>
MTWTFSS
30 1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30 31 1 2 3

CruiseConnect Global 2019

Attend CrewConnect Global and stay on for the CruiseConnect Summit to take part in an industry-wide conversation focused…

read more >

CEDA Dredging Days 2019

CEDA Dredging Days programme will follow its successful format of contributed peer-reviewed…

read more >

Offshore Wind Europe 2019

#OWEU19 is a meeting place for governments, developers and suppliers to grow the confidence in wind power. Perfect to grow your business by securing new customers, meeting officials and industry heads.

read more >

6th Mozambique Gas Summit & Exhibit

This year’s edition will have a revamped programme for attendees.

read more >