eircom Group companies exit examinership; new holding company created

By Caroline Salls

Pittsburgh, June 11 - eircom Group said the three group companies placed under examinership on March 29 have successfully exited examinership.

According to a news release, the companies placed under examinership were eircom Ltd., Meteor Mobile Communications Ltd. and Irish Telecommunications Investments Ltd.

eircom said a simplified capital structure is in place and a new holding company, to be named eircom Holdings (Ireland) Ltd., has been created, with equity owned entirely by the group's lenders.

The company said Singapore Technologies Telemedia and the Employee Share Ownership Trust (ESOT) are not shareholders in the new group structure.

The company said eircom's examinership provides the basis for a more sustainable capital structure, with €1.7 billion of debt removed from the balance sheet, representing a reduction of 40% of group debt.

In addition, a new board of directors has been constituted, the release said. Ned Sullivan continues as independent non-executive chairman, Nicky Hartery continues as an independent non-executive director and Paul Donovan, group chief executive officer, continues as executive director.

This allows the company to progress with the execution of the five-year business plan supported by the board and its lenders, according to the release.

"Our new shareholders are fully committed to a strong future for eircom," eircom Group chairman Ned Sullivan said in the release.

"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."

eircom Group is a Dublin-based telecommunications operator.

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