4 groups interested in Hanjin – SBMA
Published Feb 24, 2019 12:00 am
By Bernie Cahiles-Magkilat
Four foreign groups, not Chinese, have expressed interest in Hanjin Heavy Industries and Construction Philippines (HHIC-Phil.), either in the form of capital infusion, buyout and takeover.
Wilma Eisma, Subic Bay Metropolitan Authority (SBMA) Administrator and CEO, said one of the four new interested parties is a North American firm and the other, a European company. She declined to reveal the two others, which are being represented by their lawyers, except to say that they are not Chinese.
“These are big companies which are also engaged in shipping business, but the others are also in non-shipping business,” Eisma said noting that Hanjin occupies a big property in the freeport and which could be used for other businesses. Hanjin’s operations in Subic occupies more than 300 hectares of land, with a 4km Quay Wall and two of the world’s largest docks with the size of 370m x 100m and 550m x 135m which is about seven times larger than a football stadium.
According to Eisma, these potential new investors are very keen and two groups are already doing their due diligence. Earlier, the Board of Investments said two Chinese firms and a Turkish company were interested in Hanjin.
Eisma said the four groups’ interests vary from being an equity investor to buyout and takeover of the shipyard.
On proposals by some quarters for government takeover for use by the Department of National Defense, Eisma said that is up to the Department of Finance and the DND.
“The only question is do we have money,” she said. HHIC-Phil. incurred $412 million from five local banks.
Eisma explained that SBMA’s interest is to create more jobs in the freeport so they would welcome whoever will operate the shipyard. The bankruptcy of Hanjin has not just caused a stir among local banks, but also the displacement of some 3,000 workers at the shipyard.
Eisma said she was informed by Hanjin that at the barest minimum operation, they could only keep 300 people.
“That could be small compared to our total employment of 154,000 but those are stomachs and even if that is only one person he is still important,” she stressed. At one point, HHIC-Phil. is home to more than 32,000 Filipino workers gainfully employed and is being recognized as a world-class shipyard with competitive edge.
She said though that some of the displaced Hanjin workers have found their way into other Subic projects and in the government’s Build Build Build projects.
Last week, the court has appointed a receiver for Hanjin in the person of Atty. Rosario Bernaldo. As a receiver, Bernaldo will supervise the negotiations, payment and possible schemes for Hanjin.
Wilma Eisma, Subic Bay Metropolitan Authority (SBMA) Administrator and CEO, said one of the four new interested parties is a North American firm and the other, a European company. She declined to reveal the two others, which are being represented by their lawyers, except to say that they are not Chinese.
“These are big companies which are also engaged in shipping business, but the others are also in non-shipping business,” Eisma said noting that Hanjin occupies a big property in the freeport and which could be used for other businesses. Hanjin’s operations in Subic occupies more than 300 hectares of land, with a 4km Quay Wall and two of the world’s largest docks with the size of 370m x 100m and 550m x 135m which is about seven times larger than a football stadium.
According to Eisma, these potential new investors are very keen and two groups are already doing their due diligence. Earlier, the Board of Investments said two Chinese firms and a Turkish company were interested in Hanjin.
Eisma said the four groups’ interests vary from being an equity investor to buyout and takeover of the shipyard.
On proposals by some quarters for government takeover for use by the Department of National Defense, Eisma said that is up to the Department of Finance and the DND.
“The only question is do we have money,” she said. HHIC-Phil. incurred $412 million from five local banks.
Eisma explained that SBMA’s interest is to create more jobs in the freeport so they would welcome whoever will operate the shipyard. The bankruptcy of Hanjin has not just caused a stir among local banks, but also the displacement of some 3,000 workers at the shipyard.
Eisma said she was informed by Hanjin that at the barest minimum operation, they could only keep 300 people.
“That could be small compared to our total employment of 154,000 but those are stomachs and even if that is only one person he is still important,” she stressed. At one point, HHIC-Phil. is home to more than 32,000 Filipino workers gainfully employed and is being recognized as a world-class shipyard with competitive edge.
She said though that some of the displaced Hanjin workers have found their way into other Subic projects and in the government’s Build Build Build projects.
Last week, the court has appointed a receiver for Hanjin in the person of Atty. Rosario Bernaldo. As a receiver, Bernaldo will supervise the negotiations, payment and possible schemes for Hanjin.