Mercator Put under Judicial Management

Singapore-listed shipping company Mercator Lines (Singapore) Limited has been placed under judicial management following a court order issued on Monday, January 18th.

As disclosed in a stock exchange filing, Yit Chee Wah has been appointed as judicial manager whose job will be to evaluate all of the available options in order to preserve the value of the company’s assets for the benefit of its creditors.

The announcement comes on the heels of Harish Kumar Mittal’s resignation as Chairman and Non-Executive Director of the company also with effect from 18 January 2016.

Mercator Lines has been faced with an extremely difficult time that has seen its Board decide to exit from dry bulk business and sell its dry bulk fleet of 11 bulkers.

MLS has a debt of Rs 1000 Crore and has reported a loss of USD 125 million for 2015, resuming a losing streak from the last three years.

World Maritime News Staff