Italian shipping company Premuda has concluded the pending standstill agreements with its banks, under which banks formalized their intention not to exercise their rights to seek payment of the company’s outstanding debts.
Premuda informed of its financial problems back in June, after which it managed to persuade banks to sign the standstill agreements so as to allow the company to continue to operate during the negotiations on the final debt restructuring agreements of all the group’s companies.
“In light of this important step, the company and its subsidiaries will continue to manage their operating activities and will perform a series of divestments of assets, included in the financial and industrial plan proposed to the financing banks, which will allow the group to resolve its liquidity constraints,” Premuda said in a release.
The standstill agreements will serve as a time bridge until conclusion of the debt restructuring process, which is expected to be reached by the end of October 2015.