Hanjin Shares Dive 30 Percent In Resumed Trading

Hanjin Philadelphia at the Port of Oakland
The Hanjin Philadelphia at the Port of Oakland, California by legendary Telstar Logistics photographer Todd Lapin.

by Hyunjoo Jin (Reuters) Shares in Hanjin Shipping (117930.KS) slumped by the daily limit of 30 percent in resumed trade on Monday as the South Korean shipping firm struggles to contain the fallout of its collapse.

The world’s seventh-biggest container shipper made a “Chapter 15” filing with a U.S. court, a spokeswoman said on Monday, to protect its vessels from being seized by creditors.

The world’s seventh-largest container shipper filed for court receivership in Seoul on Wednesday after banks withdrew support. The court subsequently decided to begin a rehabilitation proceeding in South Korea.

Shares had been suspended since 1.30 p.m. on Aug. 30 in Seoul.

The shares were down 25 percent at 934 won ($0.8392) as of 0008 GMT (8.08 p.m. ET) on Monday, having earlier slumped to 870 won, their lowest since December 2009.

(Reporting by Hyunjoo Jin and Se Young Lee; Editing by Richard Pullin and Stephen Coates)

Hanjin Shipping to take legal action to prevent ship seizures

South Korea’s Hanjin Shipping Co Ltd will take legal action in about 10 countries this week to prevent its ships from being seized, the country’s financial regulator said on Monday.

The countries include Canada, Germany and the U.K., the Financial Services Commission said in a statement.

Hanjin Shipping aims to expand the scope as soon as possible, with plans to pursue legal action in 43 countries, the regulator added.

Shares in Hanjin Shipping slumped by the daily limit of 30 percent in resumed trade on Monday as the South Korean shipping firm struggles to contain the fallout of its collapse.

(Reporting by Joyce Lee; Editing by Edwina Gibbs)

Reuters (Reuters)

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