[THE INVESTOR] Ailing Hanjin Shipping has come under growing pressure from its creditors to secure more money to tide over a deepening cash shortage, industry sources said on July 27.

According to the sources, the country’s No.1 shipping line has proposed raising some 400 billion won (US$353 million) via stocks sales to its affiliates, but creditors want the shipping firm to jack up the figure to some 700 billion won.

Hanjin Shipping needs some 1.2 trillion won over the next 18 months to pay back debt and do business. The company, however, claims that some 400 billion won would be enough if it succeeds in cutting charter rates and postponing debt repayments.

The firm, currently under a creditor-led restructuring scheme, has made little progress in its negotiations with owners of its chartered fleet to cut leasing rates, one of the key prerequisites set out by creditors to avert court receivership.

The shipping line is also seeking to postpone the repayment of 2.5 trillion won borrowed to buy container ships and other vessels by up to three years, which would help the shipper save billions of won.

(theinvestor@heraldcorp.com)