Quinn administrators in sale hope

THE administrators of Quinn Insurance hope to have identified a preferred bidder that will purchase the group by the end of the month, the High Court heard yesterday.

The court was also informed in a report from the joint administrators Michael McAteer and Paul McCann, of Grant Thornton, that new directors have been appointed to the board of Quinn, that the insurer’s performance in the British market was better than expected and that Quinn no longer provided insurance to cover solicitors.

Bernard Dunleavy BL, for the administrators, in presenting their latest report to the President of the High Court Mr Justice Nicholas Kearns, said “significant progress” has been made and “the end was in sight” in relation to finding a buyer for the insurance group.

Merchant bankers Macquarie Capital Europe Ltd, were hired to help sell the group. They had originally identified 90 prospective buyers for Quinn.

Counsel for the administrators, who have been running the group since the Financial Regulator put the insurer into administration in March, informed the court that the number of proposed buyers had been narrowed down to a small number of bidders.

The identity of parties involved in the latter phases of that process have not been disclosed publicly. However it is understood that an announcement will be made in regards to the identity of the preferred bidder, once that party has been selected.

Counsel said that his clients are happy with the way the administration process has been progressing.

The administrators, counsel added, had managed to stabilise the business to a position where it will be an attractive proposal for purchase, the court heard.

Counsel added that while in general it was very much a case of “business as usual” at Quinn, “a new culture” had been brought into the group. This process which counsel said involved regular meetings between senior and middle management had made the firm more open and transparent.

Counsel told the court that a complete reconfiguration of the board had been finalised and the administrator was continuing to liaise with the Central Bank and the Financial Regulator.

All the executive and non-executive directors had now been replaced. Counsel said that Mr Peter Nolan and Mr John Dorris, two experts in the financial services sector, were appointed as non-executive directors of Quinn last November.

Yesterday after reading the report Mr Justice Kearns, who directed that the matter return before the court at the end of March, approved the costs and fees incurred by the administrators.