Hanjin Assets to Go on Sale
The South Korean court overseeing Hanjin Shipping’s receivership process plans to put the collapsed shipper’s Asia-U.S. operations up for sale as early as Friday, says a report in Fortune.
The company said that it is selling major businesses, including its Asia-U.S. route network, and will receive letters of intent by October 28.
In a regulatory filing the company said a Seoul court overseeing its receivership process approved a public auction of the major businesses, and it is to get binding bids from interested parties by November 7, after a due diligence process.
The spokesman for the Seoul Central District Court said the deadline for binding bids is expected to be Nov. 7. He declined to comment on potential price or interested parties for the assets.
The sale comes as creditors line up claims less than two months after the company, applied for court receivership as the first major shipping line to be dragged down by global industry overcapacity and comparatively low freight rates.
Hanjin had total debt of 6.03 trillion won ($5.41 billion) as of end-June, according to its court filing.