The Italian Sea Group (TISG) is to file a petition under Italy’s insolvency code as it seeks further court protection from creditors.
The filing follows failed discussions with clients that have made it impossible for the luxury yacht builder to continue its turnaround programme.
TISG is looking to preserve business continuity while it continues to work on a restructuring plan and seeks business continuity.
The decision to file the petition pursuant to Art. 44 of Legislative Decree No. 14 of 12 January 2019, says TISG: “Was mainly driven by the latest developments in discussions with shipowners, which no longer made it possible to continue considering the turnaround achievable solely within the framework of the negotiated settlement procedure.”
The statement continued: “In light of the developments in these discussions, the company deemed it necessary to bring forward the change of course towards the filing of the petition, in order to prevent the passage of time from reducing the turnaround options available to it.”
Cost overruns
TISG’s financial difficulties were acknowledged by its board of directors in February 2026 when cost overruns affecting the majority of contracts in progress came to light.
The overruns had an adverse impact on TISG’s cash position, reducing operating margins, combined with the necessity to continue funding the production costs associated with the ongoing contracts.
The company’s controlling shareholder GC Holding S.p.A. provided a €25 million loan to shore up finances and in March, TISG began a negotiated settlement proceedure followed by the granting of protective measures from creditors by the Court of Florence in April for a period until July 14 2026.
Debts
In May, the company stated that it was increasing operational activities across its shipyards with the aim of reaching full operations in June.
However, outstanding debts have made this impossible. In an update, TISG says the Group’s net financial debt stood at €178 million as at 31 May 2026.
Parent company TISG Spa’s net financial debt was €179 million and the total overdue debt of the company and the Group was nearly €267 million.
TISG has revealed that since 16 March 2026, it has been served with 30 payment orders for an aggregate amount of more than €2 million.
Of these, 22 payment orders have been settled for a final agreed amount of €408,000.
The latest filing will allow TISG to continue operating under court protection.
