(Yicai Global) July 26 -- Shenyang Machine Tool's shares fell 4.3 percent at the market open after the insolvent company reported four new debt defaults totaling about CNY100 million (USD14.5 million).

The company's stock price [SHE:000410] slipped to CNY5.32 (77 US cents) before recovering to close 0.2 percent higher at CNY5.57. The benchmark Shanghai Composite Index gained similarly. Last week, the firm's shares plunged about 25 percent after it said it risks bankruptcy and being delisted because creditors filed a restructuring application in court.

Three of the four newly reported defaults were for interest payments and one for principal, the Shenyang-based company said yesterday. Bank of China and the local Shengjing Bank are the creditors.

An established machine tool maker, the firm ran into difficulty in recent years due to sluggish market demand. It had defaulted on over CNY10 billion (USD1.5 billion) of short-term loans at the end of the first quarter, with interest payments reaching CNY177 million.

Shenyang Machine Tool has been losing money since 2015. It had negative net assets of between CNY1.506 billion and CNY1.156 billion at the end of first half, according to its preliminary semi-annual earnings report on July 13. It is expected to have lost between CNY1.1 billion and CNY1.45 billion in first six months of this year.