An interim examiner has been appointed by the High Court to the Thomas Read group of companies which operate some of Dublin’s best known bars and restaurants.
The companies have combined debts of more than €26 million and employ more than 400 people.
Mr Justice Brian McGovern today appointed Kieran McCarthy of Hughes Blake accountants as interim examiner to Sharmane Ltd and 14 related companies, known as the Thomas Read group of companies. The petition for examinership was brought by Guerneville Ltd, the parent company of the group.
The Thomas Read group of companies operate a total of 22 bars and restaurants in Dublin city, Dublin Airport and Dún Laoghaire.
They are: The Bailey, Duke Street; Searsons, Baggot Street; The Winding Stair, Ormond Quay; The Globe, South Great George's Street; Rí Rá, South Great George's 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.
The directors of Guerneville are Alan Kennedy, Simon Kelly, Paddy Kelly and Mark Leavey.
Gary McCarthy, for Guerneville, said court protection was being sought as Sharmane was likely or unlikely to be able to pay its debts. The companies had an excess of €26.7 million liabilities over assets and, if wound up, there would be a debt of some €38 million.
Counsel said a report from independent accountant Alan McClean expressed the view the companies had a reasonable prospect of survival, provided certain conditions were met.
He said the companies had inherited a historical debt when the owners of the group bought it from the O'Regan group in 2005 and the companies had also been affected by the economic downturn. However, the core business was strong and most of the subsidiaries in the group were trading on a solvent basis.
Mr McCarthy said Diageo Ireland, Heineken Murphy Breweries and Britvic C&C were among the largest creditors. The group's banker creditors included ACC Bank, owed more than €15 million; Ulster Bank, owed €5.6 million; Allied Irish Bank, owed €3.5 million and Anglo Irish Bank, owed €597,000.
In documents to the court, it was stated a number of creditors had taken steps which had caused concern to the Thomas Read companies. It was stated agents for Trinity College, Dublin, which owns the Lincoln Inn premises, had sought to re-enter the premises earlier this month.
After hearing from counsel and on the basis of the documents presented, Mr Justice McGovern said he was satisfied to appoint Kieran McCarthy as interim examiner and he returned the matter to Thursday next.
