Restructured Hong Kong-listed shipyard group Titan Petrochemicals has said liquidators have been appointed at a subsidiary of its parent Guangdong Zhenrong Energy (GZE).
This follows announcements about winding-up petitions made in 2016 and 2017 against both GZE and Guangdong Zhenrong Energy (HK), where liquidators Osman Mohammed Arab and Wong Kwok Keung, both of RSM Corporate Advisory, will now move in.
Titan said last year that the petitions "may have material adverse impact to the company’s business operation and financial position."
Titan signalled renewed interest in shipbuilding investments in 2016 after the completion of a restructuring process that gave financially troubled GZE, part of Chinese state-owned oil trader Zhuhai Zhenrong, a 66.5% stake in Titan.
It paid $14.5m for a stake in Zhoushan Yatai Shipbuilding Engineering and announced its intention to restart its idled Titan Quanzhou yard in Fujian province.
In January 2017, Titan announced the formation of a marine equipment joint venture and in March it purchased a stake in a Singapore yard under development.
It later acquired full but indirect control of China’s Hongqiang yard for HKD 210m ($26.9m).
Zhuhai Zhenrong is now a subsidiary of state-controlled conglomerate Nam Kwong Group.
