Australian animal exporter Wellard has sold the world's biggest livestock carrier to boost its finances.

The 36,000-gt Ocean Shearer (built 2016) has gone for $53m to Kuwaiti group Al Mawashi, the company told ABC.

Wellard executive chairman John Klepec said the vessel was costing it $8m per year in finance expenses.

"The Ocean Shearer has been the biggest vessel in our fleet, but it has been consistently under-utilised in the current, very volatile, environment," he added.

It can carry 20,000 cattle or 75,000 sheep, or a combination of both.

Al Mawashi will use it to transport sheep from Australia to the Middle East

Of the sales price, $38.4m will pay off the mortgage-holding bank, $3.9m will go towards other debt and $10.7m for working capital.

In June, Wellard said it was 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.

Wellard has three carriers left in its fleet.

It cancelled a deal for a newbuilding at Croatia's struggling Uljanik Group towards the end of last year.

The group remained up to date on all payments to its financiers as of June.