Heavily indebted ABG Shipyard is to undergo an insolvency process after admitting it had defaulted on loan repayments.

The Indian shipbuilder agreed to the proceedings at the National Company Law Tribunal (NCLT), the LiveMint website said.

Lawyers for the yard told the tribunal that a petition for liquidation by up to 20 unsecured creditors is due for a hearing at the Gujarat high court on 27 July.