Interim examiner named to Mr Binman
In the High Court yesterday, Ms Justice Mary Finlay Geoghegan appointed Billy O’Riordan of PriceWaterhouseCoopers as interim examiner to the Mr Binman Group.
In a statement yesterday, the company said it “provides vital employment” directly to 331 people and indirectly to about 280.
Following a decision by Bank of Scotland (Ireland) to withdraw its support, the company stated that its directors took the decision to “petition for examinership” for protection while management negotiates a restructuring of its debts and new equity investment for the companies.
The interim examiner was also appointed to subsidiary companies Greenport Environmental Ltd, Rural Refuse and Recycling, and Clearpoint Recycling Ltd — the Binman group.
The High Court was advised that an investor has indicated a willingness to invest sums in each of the companies in order to fund a scheme of arrangement and to provide additional working capital facilities, read the statement.
“The company has been able to weather this difficult situation to date, however things have now come to a head, where we need to source an alternative provider of working capital to ensure the survival of this indigenous Irish company,” the statement read.
Up to the end of 2008, the company had traded successfully.
“However, as the economic downturn took hold, revenues generated from the provision of waste collection services to the construction sector declined dramatically,” added the statement.
“Throughout this period, the company sought to negotiate revised credit facilities with Bank of Scotland (Ireland) and to restructure its outstanding debt to deliver a sustainable business model in line with lower than projected earnings.”
The directors of Mr Binman last night “firmly” believed that “the best option for all stakeholders in the business is an examinership process”.
Ms Justice Finlay Geoghegan has set October 18 for a full hearing of the company’s application.
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