South Korea gives $91m lifeline to struggling Hanjin

South Korea’s government has said it might provide Hanjin with loans to keep the bankrupt shipping giant afloat.

Officials said Seoul could give 100bn won ($91m; £68m) or more in long-term funding at low interest rates if Hanjin provided the necessary collateral.

The shipping company’s shares rose more than 20% on the news of a lifeline.

Hanjin’s collapse has left much of its fleet stranded at sea, unable to dock over fears that vessels be seized by creditors.

Parent company Hanjin Group on Tuesday also said it would inject 60bn won in fresh funds to resolve the disruptions to the cargo transport currently stuck at sea.

Chairman Cho Yang-ho would contribute another 40bn won from private funds, according to a company statement.

Hanjin Group is a huge, family-dominated conglomerate and also includes Korean Air.

 

BBC