Eagle Bulk has extended its forbearance and standstill agreement with its creditors by a further three days to give it more time to find a solution to the money it owes in loans.
The forebearance period commenced on Sunday and will expire at 23:59hrs on Tuesday night. This is the fifth time Eagle Bulk has extended the period with its creditors.
Eagle Bulk’s lenders, which are being led by ABN AMRO Capital USA, have agreed to waive the minimum liquidity covenant set forth in the loan agreement until March 8 or until “the occurrence of any event of default under the loan agreement other than a specified default”.
Under the terms of the previous extension agreement, filed on March 1, the forebearance period would terminate if the shipping company’s liquidity fell below $12,187,500 or $276,989 per ship.