Cork City FC in takeover talks

Cork City chairman Tom Coughlan last night confirmed that he is in talks with a local consortium with a view to relinquishing control of the club.

Coughlan took over the Leeside outfit in October 2008 but they have been beset by financial woes — a winding-up order from the Revenue Commissioners is due for next Monday while the club is under pressure to fulfil league licensing requirements in time for Friday’s deadline.

Local finance group Quintas, fronted by Jim McCarthy, are involved in the talks along with local businessman Michael O’Connell.

McCarthy and Quintas were heavily involved with behind-the-scenes restructuring at Cork City after it survived last summer’s winding-up order, issued on behalf of Revenue.

A statement issued last night confirmed that “negotiations are ongoing with a group comprising Jim McCarthy, Quintas and Michael O’Connell with a view to taking a significant stake in Cork City FC”.

The Evening Echo newspaper first reported the group were looking to take over the club on December 10.

Coughlan was quoted in the statement as saying: “I am delighted that this group have an interest in developing a community based club which can aspire to bring the best domestic and European football to Cork. The hard work of readjusting its cost base has been completed, it now needs a larger capital base to strengthen its future position.”

The statement went on to point to a “turbulent year for the club”, paying out “more than €420,000 in back pay and a revenue settlement of €400,000. Both these were inherited from previous owners. The club required a further investment of approximately €430,000 to cover the day-to-day running.

“The club having made all the necessary cuts is confident that with this new investment coupled with a new manager in Roddy Collins and a European campaign to come, is well positioned to have a great year on and off the field. Cork City is being advised by James Riordan who hopes to progress discussions this week. The club will keep the FAI fully informed of all negotiations.”

Article courtesy of the Evening Echo newspaper.