Australian livestock carrier group Wellard is contemplating ship sales after a standstill deal with noteholders failed.
The company had agreed the halt in April in respect of certain defaults existing under its notes.
This was scheduled to end on 30 September, with Wellard to grant certain security to the noteholders.
But it has been unable to do this, so the deal ended on 7 June.
Noteholders are again entitled to demand immediate repayment of their outstanding notes. This amounts to $15.5m.
The holders have said they will continue to negotiate in good faith with Wellard to achieve a mutually acceptable solution.
But Wellard is now facing an increase in the note interest rate to 21%, with monthly redemption amounts reaching $1m.
The group remains up to date on all payments to its financiers.
It said it is "actively" considering options, including any "opportunities to restructure its balance sheet and/or sell a ship."
Wellard has four carriers listed in its fleet, built between 1994 and 2016.
It cancelled a deal for a newbuilding at Croatia's struggling Uljanik Group towards the end of last year.