Funding issues at Moonen causes file for suspension of payment

Moonen Shipyards has been forced to file for suspension of payment after its main shareholder, Altos Hornos de Mexico (AHMSA), announced it is unable to continue funding the Dutch shipyard.

AHMSA is said to be one of Central America’s biggest steel manufacturers and owns 80% of Moonen. In a statement released on 8^th July, the shipyard said that the financial problems were caused by a 40% reduction in steel prices over the last five months as a result of the dumping of steel by Chinese and Russian competitors.

The statement reads, “Due to cash flow problems, AHMSA is no longer able to further finance the two yachts that are under construction. As a result, Moonen Shipyards is also faced with an immediate cash flow problem.”

Suspension of payment in the Netherlands represents an alternative to bankruptcy, allowing a company to temporarily suspend payments to creditors while searching for a financial solution to its difficulties.

Following the financial crisis, the Dutch shipyard was said to be well on its way to recovery. In June this year, Moonen gave reporters on the HISWA Tour a positive impression after announcing they were about to begin building three of its new semi-custom ‘Caribbean’ series boats that were launched back in May 2014.

In addition to the yachts financed by the major shareholder, Moonen claims to be reducing delivery times and costs, as well increasing quality. According to the statement, “There is also a smaller version in the Caribbean range sold and under construction. Furthermore, the yard has just finished a few refits and new refits are on the planning board for the second half of this year.”

For more information, visit Moonen Shipyards B.V.