Italian luxury yacht maker The Italian Sea Group (TISG) said on Wednesday it would seek court protection from creditors after talks with clients ground to a halt, making a turnaround through an out-of-court restructuring process no longer possible.
The company said its board had approved a filing under Italy's insolvency code, a step that would allow it to access court-backed protective measures while it works on a restructuring plan and seeks business continuity.
TISG owns brands including Admiral, Tecnomar and Perini Navi.
The group said it decided to accelerate the process because delaying action could reduce its restructuring options.
The yacht manufacturer entered a negotiated crisis settlement procedure in March after a series of governance and financial difficulties.
In May, it said debt-related financial losses had reduced its share capital below the legal minimum threshold and outlined turnaround measures, including possible asset disposals and contract re-negotiations.
Last month, a Florence court partially lifted protective measures for five clients, allowing them to exercise contractual rights including terminating agreements.
TISG said it would update the market on further developments in line with regulatory disclosure requirements.
(Reporting by Giulia Segreti in Rome; Editing by Elaine Hardcastle)
