Singapore-listed Mercator Lines, which was put under judicial management in 2016, will have to start over its efforts to find potential investors after a decision by judicial manager to terminate a previously agreed bailout scheme for the troubled bulk carrier.
Namely, in April the company entered into an implementation agreement with Nickolaos Mitropoulous and Dimitrios Podaridis for the proposed transfer of the company’s listing status via a scheme of arrangement.
However, the scheme has been terminated as the investors failed “ to meet their condition precedents, despite several extensions of time granted by the judicial manager.”
To remind, back in 2016 Mr. Yit Chee Wah was appointed as the company’s judicial manager in order to evaluate all of the available options to preserve the value of the company’s assets on the heels of Harish Kumar Mittal’s resignation as Chairman and Non-Executive Director of the company.
Mercator Lines has been faced with an extremely difficult financial time that has triggered its decision to exit from dry bulk business and sell its fleet of 11 dry bulkers.
World Maritime News Staff