Action casts doubt on Eircom plan

An unprecedented application to come before the Commercial Court today has cast doubt about plans by Eircom’s examiner to finalise a survival scheme with creditors on Friday for companies employing 5,800 people.

Action casts doubt on Eircom plan

New York-based DW Investment Management LP (representing 52.4% of creditors of Eircom holding €350m Floating Rate Notes (FRNs)) and Hutchison Whampoa (HWP), parent company of mobile phone operator 3 Ireland, have taken proceedings following last week’s decision of Eircom examiner Michael McAteer rejecting a revised €2bn cash offer for Eircom from 3 Ireland and HWP.

Under the proposed scheme of arrangement for Eircom Ltd, Meteor Mobile Communications and Irish Telecommunications Investments, the floating rate note-holders will not receive a dividend and will have their debt “extinguished”.

Already a subscriber? Sign in

You have reached your article limit.

Unlimited access. Half the price.

Annual €120 €60

Best value

Monthly €10€5 / month

More in this section

The Business Hub

Newsletter

News and analysis on business, money and jobs from Munster and beyond by our expert team of business writers.

Cookie Policy Privacy Policy Brand Safety FAQ Help Contact Us Terms and Conditions

© Examiner Echo Group Limited