Dream Cruises to wind up business

Genting Hong Kong subsidiary Dream Cruises has filed to wind up its business although the parent company previously said two weeks ago that the cruise operation would continue.
In an announcement on the Stock Exchange of Hong Kong, Genting Hong Kong said it had filed a petition in the Bermuda Court for the appointment of joint provisional liquidators (JPL) of the company. The JPL application had triggered further insolvency events of default or termination events under all of the outstanding debt instruments of Dream Cruises and its subsidiaries.
It added that a consensual restructuring will present higher recoveries to all creditors and stakeholders compared to a value-destructive liquidation of the Dream Sub-Group, which is the likely alternative outcome. "The Dream Sub-Group remains valuable, and there are transactions which can be pursued which are likely to realise better value for the Dream Sub-Group’s creditors than a formal and terminal liquidation scenario," the announcement said.
Currently, the management of Genting Hong Kong and Dream Cruise is discussing with the JPLs to assess the financial condition of the company and the Dream Sub-Group, and to identify potential remediation plans. At the time of writing, Dream Cruises' website does not allow any booking although it still offers information about its experiences and discounts.
In January, Genting Hong Kong filed to close down its business as it said it would run out of cash as of January 2022, although it stated that its operations of cruise lines by Dream Cruises will continue. Shortly after, Malaysian billionaire, Lim Kok Thay, resigned from his position as chairman and CEO for Genting Hong Kong. According to Bloomberg, Lim owns 76% of Genting Hong Kong. Deputy CEO and president, Au Fook Yew, also resigned from his post. 
-B