UAE-based oil and bunkering firm GP Global is looking to sell part of its assets in an effort to repay creditors after attempts to find a buyer for its trading units remained unsuccessful, reports Bloomberg.
The restructuring team is allegedly considering multiple offers for various parts of the business and a proposal is rumoured to be presented by this month.
The firm is one of the largest bunker fuel suppliers in the Middle East bunkering hub of Fujairah and has been forced into the restructuring after it failed to win backing from some of its creditors following internal fraud investigations and the crash in the commodities market, leaving it short of cash.
GP Global’s assets include bunkering terminals at Hamriyah and Fujairah, UAE. It has 412,000m³ (2.6mn bl) of storage capacity in Fujairah and 204,000m³ at Hamriyah.
It also owns a 7,600 b/d refinery in Sharjah that produces naphtha, gasoil and fuel oil and is a major supplier of bitumen to the Indian market. Its other operations include oil trading, lubricants, and steel, minerals and agricultural trading.
Related: GP Global tanker ‘GP B3’ detained in India due to loan defaults with creditors
Related: Argus Media: GP Global clarifies that it has shut only lesser performing trading desks
Related: Argus Media: GP Global rules out asset sales in restructuring
Related: GP Global engages restructuring specialists following credit pull and internal fraud
Related: GP Global internal investigations reveal Sharjah and Fujairah staff involved with fraud
Related: GP Global repudiates rumours and proceeds with restructuring as strategic move
Photo credit: GP Global
Published: 16 September, 2020
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