(Bloomberg) -- Italian auto-parts maker Geico SpA has asked its banks for new credit lines as a debt moratorium is due to expire at the end of the year, according to people familiar with the matter. 

The company currently has a standstill deal with lenders including Iccrea Banca SpA and Unicredit SpA that allow it to use cash for business activities, rather than paying down debt, according to its latest available annual report. And as the deadline approaches, Geico’s future is increasingly uncertain. 

Geico has drafted a new business plan and presented it to its lenders, and is still looking for investors in the company. In the absence of any external cash, the company has asked the banks for additional funding, said the people, asking not to be named because the discussions are private. 

However, there’s no certainty that they’ll grant the company’s request and the banks are in the process of hiring a financial adviser to help review options, said the people. 

A spokesperson for Geico didn’t return a request for comment.

Geico had €161 million ($176 million) of debt at the end of 2022, of which €118 million was owed to bank lenders, according to the annual report. The rest was mostly due to suppliers.

Geico, founded in 1963 and headquartered in the outskirts of Milan, specializes in painting systems. It has struggled in the last few years with a decline in new projects as automakers cut back on their investments and shifted their focus to electric vehicles. The company is owned by Gecofin SpA, a holding company controlled by Ali Reza Arabnia, a son-in-law of one of Geico’s founders. 

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