[Yonhap Photo]
SEOUL -- Sungdong Shipbuilding and Marine Engineering filed for court receivership Thursday after creditors concluded the midsized shipyard has no chance of coming back due to snowballing debts.
The shipyard in the southern port of Tongyeong has been under a creditor-led rehabilitation program as part of South Korea's industry-wide restructuring. Creditors have refused to extend fresh loans to the shipyard.
Korea Eximbank chief Eun Sung-soo said earlier that court receivership would be inevitable because the shipyard may go bankrupt in the second quarter of this year.
reporter
Lim Chang-won
cwlim34@ajunews.com
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