Hanjin Shipping to Close European Operations, Potential Asset Buyers Swoop In
Hanjin Shipping announced yesterday that it will close its European operations, a move The Wall Street Journal said points to probable liquidation.
"The company's European route services have completely halted," the company said in a filing, according to The Wall Street Journal.
Assets for the company's Asia-to-U.S. route are already up for sale, and the company is in talks with Mediterranean Shipping Co. to sell its stake in the Long Beach Terminal in Long Beach, Calif.
Sources close to Hanjin told The Wall Street Journal that Hyundai is a likely frontrunner to purchase Hanjin ships and assets. The Korean government and Korea Development Bank said they would support Hyundai in this matter.
In terms of selling the actual products in the shipping containers, however, another company has shown interest. Ollie's Bargain Outlet, the Harrisburg, Pennsylvania-based retail store, placed an ad in Monday's edition of The Wall Street Journal looking to purchase items that Hanjin customers were unable to ship or were too delayed to ship.
According to The Allentown Morning Call, Ollie's has $100 million to spend.
"We see an opportunity to do business that is mutually beneficial to those who may need to offload merchandise, so we are just reminding folks that we are here and have the funds available to purchase these merchandise shipments, as well as the logistical expertise to act quickly to take possession of the goods," Mark Butler, president and CEO of Ollie's, told The Allentown Morning Call.