Hyundai Merchant could buy goods Hanjin – Yonhap News Agency

2016/08/31 17:37 KST

Jeong Eun-bo, deputy chairman of the Financial Services Commission (FSC, according to its acronym in English). (Photo)

Seoul, August (Yonhap) 31 – South Korean Hyundai Merchant Marine will encourage Co. to acquire part of the assets of its local rival Hanjin, larger but at a time of difficulties, said Wednesday the deputy chairman of the Financial Services Commission (FSC, according to its acronym in English), a step seen as a prelude to the merger de facto the two firms.

Jeong Eun-bo, vice president of the FSC, described this idea as an attempt to prevent the shipping industry in the country losing its competitiveness.

Previously in the day, Hanjin shipping Co., seventh largest container shipping company in the world, decided to seek judicial management of the firm at a meeting of its board of directors. On Tuesday, creditors decided not to grant additional to the shipping company support.

“There are worrying opinions that competitivdad the shipping industry, the key industry of South Korea, it could weaken due to judicial administration Hanjin Shipping, “Jeong said chairing an emergency meeting to discuss ways to tackle the crisis.

the government plans to” actively pushing “Hyundai Merchant to acquire assets free of charges Hyundai Merchant, belonging to Group Hyundai, like boats, sales networks abroad and workforce.

Hanjin Shipping has already delivered many of its major assets to other subsidiaries of Hanjin Group, in order to raise funds for their efforts self-reform.

Among the goods sold are the participation of 59 percent of the container terminal of Pyeongtaek and a share of 50 percent in the new port of Busan, plus the rights to operate in eight routes freight from Asia and a 21 percent in a Vietnamese terminal.

in possession of Hanjin shipping are some ships, plus a network of strong sales and the right to operate some terminals and routes freight.

as for concerns about a possible impact on the financial market problems Hanjin shipping, Jeong said authorities will closely monitor changes in the stock market and the situation financial firms related, and seek measures to help contractors Hanjin Shipping.

However, in general, whatever the future of the company, it is likely that the effect on the financial market local will be limited, he added

on the other hand, the Ministry of Oceans and Fisheries said earlier in the day that will work to help minimize the impact on freight traffic for local exporters and importers. assigning substitutes for ships of Hanjin that could be seized by creditors.

If Hanjin Shipping just under judicial administration, the owners of contracted vessels collect the ships and creditors seize ships Hanjin, according to the ministry.

the ministry estimated that could be affected process a total of 540,000 TEUs (equivalent to a 20-foot container unit), and submitting articles to foreign countries might be difficult for the next three months.

the ministry also said it will consult with related agencies to develop measures to promote the competitiveness of the local shipping industry.

jisooaw@yna.co.kr

(FIN)