The Subic Bay Metropolitan Authority (SBMA) is nearing completion of the renegotiation of the contract of shipbuilder Hanjin Philippines, a unit of South Korea’s Hanjin Heavy Industries & Construction Co Ltd.
Karen Magno, SBMA manager, said the agency and the Bases Conversion and Development Authority are in talks with an American company interested in Hanjin as well as the Philippine Navy which will become a tenant of the US firm.
Hanjin Philippines filed for bankruptcy early January, 2019. Its shipyard in Subic used to employ around 30,000 and propelled the country’s shipbuilding industry.
If completed, the deal will pave the way for a new contractor of Hanjin Philippines’ facilities.
Magno did not identify the American company but previous reports said private equity firm Cerberus and Austal of Australia were to jointly vie for the distressed shipbuilder.
The SBMA said once the contract is renegotiated, Hanjin can assign such contract to whoever is its white knight.
“We are nearing completion. Paperwork has already been laid out and done … but that was just a chunk of it, because again, the court case is still present, the court is yet to decide on that,” said Magno.
