OW Bunker files bankruptcy in Denmark; no sustainable solution found

By Caroline Salls

Pittsburgh, Nov. 7 – OW Bunker A/S filed for bankruptcy in the probate court in Aalborg, Denmark, after its board of directors and management were unable to find a sustainable solution, according to a news release.

On Thursday, the company announced in-court restructuring proceedings for its O.W. Bunker & Trading A/S and O.W. Supply & Trading A/S subsidiaries.

The court issued the bankruptcy order on Friday. Pernille Bigaard and John Sommer Schmidt have been appointed as trustees of the bankruptcy estate.

“Since the credit facility was closed down on Wednesday, the underlying business has eroded significantly,” chairman of the board Niels Henrik Jensen said in the release.

“The banks hold mortgage over all receivables and consequently, without the provision of new, significant credit facilities in the immediate future, it is not possible to save the remaining business.

“It is now clear that such facilities will not be made available. Nor is a sale as going concern a realistic option. We are therefore left with no option but to file for bankruptcy.”

In addition, the company said two key employees of subsidiary Dynamic Oil Trading will be reported to the police and relieved of duty immediately as the result of an internal investigation.

OW Bunker is an independent distributor and reseller of marine fuel based in Denmark.

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