World News
Bankruptcy Petition Filed by Bulk Invest
Norway-based shipping firm Bulk Invest ASA (Bulk Invest) Thursday announced it has filed for bankruptcy, freezing trading of all company shares.
As Ship & Bunker reported earlier this week, Bulk Invest announced that the recent sale of its subsidiary, Western Bulk Chartering AS (Western Bulk Chartering), to Kistefos Equity Operations AS (Kistefos) was being challenged by some of its main creditors through a legal injunction with the aim of reversing the sale - even if that meant bankrupting Bulk Invest.
It is reported that the Bulk Invest's decision to file for bankruptcy was prompted when seven of the ship owners involved in challenging the sale of Western Bulk Chartering rejected the company's restructuring efforts.
"Regrettably, the board of directors of the Company has therefore come to the conclusion, after several extensions and attempts of dialogue, that there is no longer a basis for the Company to proceed with its restructuring efforts, and consequently, that there is no longer a basis for continued operations," stated Bulk Invest.
One of Bulk Invest's subsidiaries, Bulk Shipowning IV AS, is reported to have also announced intentions to file for bankruptcy, although it is noted that Bulk Invest's other subsidiaries have chosen to continue their operations with restructuring efforts.
Bulk Invest, which is said to have had liabilities totaling $143.4 million at the end of 2015, is reported to be the first European dry bulk shipping company to file for bankruptcy so far this year.
It is reported that an administrator will be appointed to make decisions relating to Bulk Invest's assets.
In February, Ship & Bunker reported Bulk Invest (then known as Western Bulk ASA) began the sale of Western Bulk Chartering to Kistefos, receiving the first cash payment of $10 million from Kistefos, with the rest of the cash purchase price, $6 million, to be paid March 2, 2016.
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 645.00 | 2.00 | 767.50 | 11.50 |
| Rotterdam | 600.00 | 8.00 | 751.50 | 13.00 |
| Houston | 627.50 | 9.00 | 796.00 | 11.50 |
| Fujairah | 649.50 | 0.00 | 889.00 | 0.50 |
| Global 20 Ports Average | 665.00 | 0.50 | 864.00 | 6.50 |
| Global 4 Ports Average | 630.50 | 5.00 | 801.00 | 9.00 |
| Global Average Bunker Price | 722.50 | 2.50 | 922.50 | 3.00 |
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