US-based operator of dry bulk cargo vessels Eagle Bulk Shipping has entered into a forbearance and standstill agreement with its lenders to delay any action after the company failed to make a scheduled loan repayment on January 15, 2016.
The company now has until February 2 to figure out a solution with its lenders, namely, ABN AMRO and others.
Eagle Bulk Shipping said that it is currently engaged in discussions with its shareholders and lenders to evaluate potential financing alternatives to enhance its liquidity, with the objective of reaching agreement by the end of the forbearance period.
According to the company, the reason behind the missed payment were apparent violations in the provision of shipping services for third party charterers with respect to the transportation of cargo.