Date
25 September 2017

Nanjing-based Sainty Marine hit by property firm loan default

Sainty Marine Corp. (002608.CN), a Nanjing-based shipbuilder, said on Tuesday that a property developer has defaulted on a loan repayment worth 105.4 million yuan (US$16.9 million), the Wall Street Journal reported Wednesday. 

The Shenzhen-listed firm was quoted as saying in a regulatory filing that Nanjing Fudi Property Developing Co. was due to repay a 90 million yuan loan plus 15.4 million yuan in interest to Sainty Marine on April 9, but failed to do so.

Following the default, a court in Nanjing has ordered the seizure of part of Furun Plaza, a commercial-development project in the city that was used as collateral on the loan, according to the report.

Sainty Marine said, however, that other creditors had also filed claims against Nanjing Fudi, which had used property from the same project as collateral on other loans. The shipbuilder said its claims took precedence in the case, but added that it was still discussing the issue with the borrower.

– Contact HKEJ at [email protected]

RA/RC

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