Cruise operator Genting Hong Kong files for liquidation

With the pandemic having driven its German shipbuilding subsidiary into insolvency, Genting Hong Kong has filed to wind up the company

With the pandemic having goaded its German shipbuilding subsidiary into insolvency, Genting Hong Kong has filed to wind upwards the company.

The filing with the Supreme Margaret Court of Bermudas follows the firm’s ending that it “exhausted all reasonable efforts” to negociate with its creditors and stakeholders.

The Covid-related regulations make decimated travel demand, and cruise trading operations globally were among the first of all to live pose on have at the start up of the pandemic in too soon 2020. Travel restrictions since make led to a string up of restructuring and insolvencies inwards the hospitality industry.

Genting Hong Kong reported a record book loss of $1.7bn inward May, and Hong Kong has just now reimposed some of its strictest virus curbs since the beginning of the pandemic.

Genting Hong Kong’s indirect wholly-owned ship building subsidiary, MV Werften, filed for insolvency inward a local royal court inwards Germany. The accompany asked the Bermuda royal court to name Hong Kong-based Alvarez and Marsal Asia and Bermuda-based R&H Services as marijuana cigarette provisional liquidators meant to negotiate a debt restructuring that would take into account it to persist in as a going concern.

Most of Genting Hong Kong’s (and its subsidiaries) operations will belike cease. However, according to the filing, sure ones, including trading operations of cruise lines by Dream Cruises Holding are to go along in an effort of preserving nucleus assets.

Genting Hong Kong’s shares, which dropped almost 50% inwards January before being halted from trading earliest this week, will remain suspended until farther notice.

According to the website of MV Werften, the ship builder has around 2,900 stave members, and has delivered to a greater extent than 2,500 vessels over its 75 years of activity.