Wang Shuhua, chairman of financially struggling Chinese shipuilder Sainty Marine, has resigned ‘on personal work grounds’.
The Shenzhen-listed company made the announcement in a stock exchange filing on 24 July. It said it would elect a new chairman in the near future.
Wang’s resignation comes after the company was excluded from bidding to take over insolvent Nantong Mingde Heavy Industry (NMHI).
Related news:Sainty Marine calls off NMHI takeover bid
Sainty Marine had co-operated with NMHI since 2013 to sell vessels built there. As part of this, Sainty Marine provided NMHI with a total of net CNY2.5 billion (USD403.2 million) to finance newbuildings under construction, making it the single largest creditor of the Nantong yard.
But it became clear by the end of 2014 that NMHI was unable to repay the funds as it had predicted. NMHI filed for court receivership, at which point Sainty Marine launched its bankruptcy restructuring in December 2014. The plan was that Sainty Marine would ultimately take over NMHI.
This plan ended when NMHI’s receiver determined that Sainty Marine did not have the finances needed to see through the restructure.