Troubled haulier Eddie Stobart Logistics (ESL) has won a six-month breathing space on repaying a £200m loan and more than a year's extension before it has to prove to its lenders it can service the debt.

The rescue plan sees Allied Irish Bank, Bank of Ireland, BNP Paribas, and KBC waive the firm’s banking covenants until early 2021 and defer loan repayments until July next year, according to reports.

The plan was put together by private equity fund DBAY Advisors, which has put in a £55m bid to buy the haulier.

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ESL, which recently warned shareholders it has debts of at least £12m, is being courted by three rival bidders.

DBAY Advisors has entered into a conditional sale and purchase agreement with the haulier. Under the terms of the sale proposal, DBAY would acquire a 51% stake, with existing shareholders having a 49% interest.

DBAY is also proposing an injection of approximately £55m of financing into the group's operations to “be used to provide necessary liquidity".

The proposed takeover is subject to shareholder approval, with a general meeting scheduled for 6 December.

However rival bidder Wincanton is urging ESL's stakeholders to "take no immediate action", warning them that they cannot make an informed decision on any offer until ESL reveals the findings of auditor PWC’s review of the company’s finances.

Wincanton, which is currently carrying out due diligence on ESL, has until Wednesday this week (27 November) to put in a bid for the company.

Andrew Tinkler, former boss of Eddie Stobart, has also expressed interest in buying the company and is said to be putting together a £75m rescue bid for ESL.

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