Shipbuilding Firm OSX to File for Bankruptcy

The empire of the Brazilian businessman Eike Batista has taken another hit, as his shipbuilding firm OSX states it would file for bankruptcy, reports the 'New York Times' via Agence France-Presse.

According to the newspaper, OSX’s board of directors released a statement that it had decided to apply for court-supervised restructuring, also that Ivo Dworschak Filho would replace Marcelo Gomes as chief executive, and that the firm was hiring the consultancy Angra Partners to advise it on its restructuring.

The move comes as Mr. Batista’s firms, once symbols of Brazil’s might, have suffered under the weight of huge debt. All six of his firms have now declared bankruptcy, transferred ownership or sold off key assets.
OSX’s debts were $2.4 billion at the end of the second quarter according to the company’s balance sheet, but the current number may be greater.

Source: The New York Times