Senior public relations advisers Jim Milton and Joe Murray have begun to dilute their stake in Murray Consultants, the PR firm they established in 1974, writes Arthur Beesley, Senior Business Correspondent.
The firm's four executive directors, led by managing director Pat Walsh, have acquired a "significant minority" stake in the business, which is one of the biggest public relations companies in the State.
While the consideration paid for the stake is not known, the succession plan now in place at the company gives them the scope to increase their shareholding. Potential entrants to the company may also take a stake.
Among the best-known PR advisers in Dublin, both Mr Milton and Mr Murray remain very active in the client service side of the business.
The transition to a new ownership structure was disclosed by the company as it filed abridged accounts that show a 75 per cent rise in its accumulated profits to €1.75 million last year from €1 million in 2003. Like-for-like profits were up 63 per cent on the previous year, Mr Walsh said.
"Earlier this year, as part of succession planning and the ongoing development of the company, the senior management was reorganised. A significant minority shareholding was made available to the team of executive directors."
He declined to quantify the stake now held by the four executive directors. In addition to Mr Walsh, the others are: Pauline McAlester, Blaithín Boylan and Elizabeth Headon.
Ms Headon joined the board at the time of the restructuring last April, which saw the appointment as chairman of Donal Roche, a former managing partner of the legal firm Matheson Ormsby Prentice. He is not a shareholder.
Murray Consultants held inconclusive talks in 2002 with the London-based marketing and communications group Incepta, which was believed to be ready to pay some €20 million for the company.
According to the abridged accounts, the company had work in progress valued at €482,382 at the end of 2004, debtors of €2.5 million and €542,265 in cash in the bank. Total assets less current liabilities were valued at €2.66 million, up from €2.04 million at the end of 2003.
