Independent News & Media, the Irish owner of the UK's Independent newspaper, today agreed a six-week breathing space with its banks and bondholders which eases immediate pressure on organisation to sell the daily national.

Holders of a €200 million (£178 million) bond that pays 5.75% interest have agreed the standstill on the bonds which were due to have been repaid today.

The company's main banks have also allowed it an extra €15 million of working capital for the coming six weeks which it said was "secured on certain agreed assets and which sums are to be repaid from specified asset disposals."

It was not clear which titles may be covered by these agreements although the Independent has been widely reported as being offered for sale. The standstill could be extended beyond its 26 June deadline with the consent of bondholders and banks. For the time being it does not have to make interest payments on its debt or bonds although they will be rolled up.

The deal allows Independent News & Media to continue talks over its eventual refinancing with founder chairman Sir Anthony O'Reilly and major shareholder Denis O'Brien expected to put up as much as €30billion of their own cash to save the business.

Last year Independent News & Media lost €161 million and admitted that the first quarter of this year had been "tougher than expected."