Hope for Mr Binman as 6 parties willing to invest

SIX investors have indicated a serious interest in investing in the waste collection company Mr Binman, a development which might help ensure its survival as a major employer in Munster, the High Court heard yesterday.

The group employs 331 people directly while more than 200 others are reliant on its survival.

Bank of Scotland, Mr Binman group’s main banker and largest creditor, opposed the application to confirm examinership for companies in the group.

Paul Sreenan SC, for the bank, said it would not provide any more funding, the companies have no reasonable prospect of survival and the court should appoint a receiver immediately.

Ms Justice Mary Finlay Geoghegan will today conclude the hearing of the companies’ petition for examinership. The court heard that the companies’ difficulties and insolvency were due to several factors, including the recession, increased competition, the costs of expansion and the refusal of BoS to provide further financing.

BoS is the only creditor opposing examinership and among the largest creditors supporting the petition are Greenstar, owed €2.5m, and a group of BES investors, owed €965,000.

Limerick County Council also supported the petition, principally on grounds of the company being a major employer in the region.

The Revenue Commissioners, owed about €1.6m, were adopting a “guardedly neutral” position towards examinership arising from its concerns management had for over a year used monies collected and intended for Revenue to fund the companies’ staying in business, said Alison Keirse, for Revenue, said. If the court appointed an examiner, all Revenue obligations must be met during the protection period, she added.

Earlier, John Gleeson SC, for the companies, said a report from an accountant had expressed the view that the companies have a reasonable prospect of survival provided several conditions were met, including procuring new investment and bank funding.