THE COURT-appointed examiner of the Thomas Read companies, which operate 21 of Dublin’s best- known pubs and restaurants, has secured High Court approval for schemes of arrangement aimed at ensuring the survival of the companies.
The 14 companies, owned by Sharmane Ltd, the parent company of the Thomas Read Group, have combined debts of €26 million but have a reasonable prospect of survival providing certain conditions are met, the court previously heard.
Court protection to allow the companies trade out of their difficulties was put in place last month and Kieran McCarthy was appointed examiner.
The matter was back in the High Court yesterday for directions on the scheme of arrangement to be put in place for dealing with future possible investment and with creditors, which include major banks.
The court has heard the companies would not need external finance to keep going during the protection period and there have also been nine unsolicited queries expressing interest in either the group itself or assets within it.
Lyndon MacCann SC, counsel for the examiner, said they were proposing separate schemes of arrangement for the companies and not a single scheme for the entire group. On the assumption the examiner receives an offer to invest in all the companies, it was proposed each scheme of arrangement would be interdependent and that approval of each will be conditional on approval of all the schemes.
The creditors of each company will be given documentation of investment proposals for all of the companies but will only be allowed to vote for schemes relating to the companies which owe them money, the court heard.
There was no objection yesterday to the examiner’s proposals from any creditor and Ms Justice Mary Finlay Geoghegan approved the schemes. The Thomas Read group employs more than 400 people and all but three of the companies are trading profitably.
The largest secured creditor is ACCBank, which is owed €15.2 million, while the Revenue Commissioners are owed €2 million; Ulster Bank is owed €5.6 million; Allied Irish Banks €4.6 million; Diageo Ireland €1.1 million and Lombard Ireland is owed €1 million.
The pubs and restaurants in the group are: The Bailey, Duke Street; Searsons, Baggot Street; The Winding Stair, Ormond Quay; The Globe, South Great Georges Street; Rí Rá, South Great Georges Street; The Harbourmaster Bar, IFSC; Thomas Read, Parliament Street; Pravda, Liffey Street; Floridita, Abbey Street; Dawson Lounge, Dawson Street; Ron Black’s, Dawson Street; Thomas Read, Smithfield; Lincoln Inn, Lincoln Place; Bodega, Dún Laoghaire and eight bars at Dublin airport.
