Eircom exits examinership with new funding and shareholders

11 Jun 2012

Eircom said today that it has exited the examinership with new capital and shareholders in place. ST Telemedia and the Employee Share Ownership Trust are no longer shareholders.

In a statement today the incumbent telecoms operator – consisting Eircom Ltd, Meteor Mobile Communications Ltd and Irish Telecommunications Investments Ltd – says it is owned entirely by its lenders.

A new board of directors has been constituted consisting Ned Sullivan, independent non executive chairman, Nicky Hartery, non-executive director and Paul Donovan, group CEO and executive director.

The examinership process removed €1.7bn worth of debt from Eircom’s balance sheet – approximately 40pc of group debt.

It is now embarking on a five-year business plan which includes a 1m home fibre broadband plan.

“A new chapter for the Group begins today,” chairman Ned Sullivan said this evening.

“Our new shareholders are fully committed to a strong future for eircom. Having successfully navigated examinership and the consequent restructuring of the balance sheet, the Group can look forward to executing the next phases of its strategy,” Sullivan said.

John Kennedy is a journalist who served as editor of Silicon Republic for 17 years