Eircom employees risk losing their shareholding under restructuring deal

EIRCOM employees may lose their shareholding in the company as part of the ongoing deal to restructure the firm’s €3.75 billion debt.

The head of Eircom’s employee share ownership trust (ESOT) — which owns a 35% stake in the company — has raised the issue via a note on the ESOT members’ website.

According to trust chairman Jerome Barrett: “As it stands, the ESOT is not a party to the senior lenders’ proposal. What can be expected is that some form of &merger and acquisition process may be undertaken; and what role — if any — the ESOT may have in a future ownership structure will only be determined as the process evolves.”