Siac says it will seek to claim €150m from Polish venture

The rescued Siac Construction Ltd intends to lodge fresh claims seeking €150m from its ill-fated Polish venture in the next number of months.

According to new accounts filed by Siac Construction Ltd the firm booked net exceptional gains of €41.6m from the examinership process that Siac exited earlier this year.

This contributed to a pre-tax profit of €45.12m in the 14 months to the end of February 26 and followed a pre-tax loss of €84.7m in 2012. Revenues fell from €112.77m to €45.29m.

Last February, the Supreme Court approved a survival plan for Siac that involved existing shareholders, the Feighery family, and new backers, Ducales Trading and Colas, to rescue to the troubled firm that was given court protection owing €42m to three banks and €26m to trade creditors.

The firm’s troubles arose from a €360m joint venture road scheme in Poland.

According to a note attached to the accounts, the firm says it has submitted claims for €64m concerning its Polish business “and is planning to submit claims totalling a further €150m over the coming months”.

The note states: “While the group’s share of these claims is €133m, an amount of €11m has been recognised. This reflects a discount for the uncertainties of litigation and the potential timescales involved. It is to be expected that the contracting authority will defend our actions and pursue counter claims in Poland.”

The terms of the examinership scheme of arrangement provide that 20% of any net amounts recovered in respect of the claims to February 26th 2022 will be paid to unsecured parties of various Siac subsidiaries.