Industry – Shipping
Territory – Italy, France, Greece
Client – Majority shareholder in a European cruise shipping company.

Case – The cruise shipping company (“Company”) encountered a complicated liquidity situation due to an implementation of a rapid growth strategy and acquisitions of cruise ships. The minority shareholders, who opposed the Company’s growth strategy, took advantage of the situation and tried to gain control of the Company, while accusing the client in mismanagement and fraud.

Actions – A team of forensic accountants and Certified Fraud Examiners examined the Company’s books and accounts and gathered solid evidences that proved that the accusations were fabricated and baseless.   A team of leading legal advisors from the relevant jurisdictions were recruited to act in accordance with an agreed strategic legal framework. Legal procedures were initiated against the minority shareholders simultaneously in different courts and jurisdictions, blocking the minority shareholders activities and proving that their accusations were fabricated and baseless. We assisted the client during the negotiations with European and American banks that provided new credit facilities that solved the liquidity problems. Thereafter, we participated in a turnaround program that included a revision of suppliers’ agreements, improvements in logistics and redundancy program.

Outcome – Our activities led to the strengthening of the client’s control over the company and to an improved liquidity that enabled continuity of growth strategy.