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STX Group in cash crisis, future of proteam unknown

Posted by Radoslav "Nydra" Kolev 1 year, 24 weeks ago
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STX's pro-gaming team, STX SouL

STX Group - owner of several large scale subsidiaries including the STX Offshore & Shipbuilding - is in a severe debt problem, various sources report. What will become of STX Soul remains to be seen.

Although STX Group's decline first began during the 2008 financial crisis, it was only this April that it hit its lowest since its foundation in 2003, Bloomberg.com reported. The declining demand for new ships led to the fall of STX's two ship-building subgroups - STX Pan Ocean and STX Offshore & Shipbuilding - leaving the corporation no choice but to initiate a sell of its assets in order to pay off the $2,2 billion worth of debt.

Shortly thereafter, Wallstreet Journal reported on April 8th that STX Group has asked its main creditor - the Korea Development Bank (KDB) - to buy off the $231 million STX PanOcean unit while STX Offshore & Shipbuilding has also looked to creditors for help to pay off its debts.

Recently, Korean TV stations, newspapers and internet portals reported that the STX Group will be officially reconstructed, with only its shipping unit to remain and the unessential rest. The story is still developing.

Among other things, this raises the question what will happen of their progaming team STX Soul. Originally founded in 2000, STX Soul is currently among the finest StarCraft II teams in Korea, packing renowned talent like Innovation, Last, Trap, Hyvaa and more, and are currently top two in the ongoing Proleague. As part of an organization undergoing restructuring, however, it is yet unknown if the team will be kept, sold to a third party or dissolved altogether.
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