Ladbrokes on course to exit examinership as High Court approves investment scheme
The High Court has today approved an investment scheme for Ladbroke Ireland Ltd, which is in examinership.
The scheme, which was proposed by the examiner Ken Fennell of Deloitte, will save 700 jobs and will allow the company to maintain its trade in Ireland with the support of the UK parent company.
Ken Fennel of Deloitte was appointed examiner over Ladbrokes Irish operating companies on April 21.
The group operates 196 stores, making it one of the largest retail based examinerships in Ireland to date.
Under the scheme, Ladbrokes UK, the Irish companies’ parent company, will provide the necessary investment to restructure and maintain its Irish operations.
In addition, the examination process has allowed the company to restructure a significant proportion of its property investments, and will allow for creditors to receive dividend payments against the debt owing to them at the date of the appointment of the examiner.
144 Ladbrokes stores will now operate in Ireland, employing 700 people. Approximately 90 people have availed of a voluntary redundancy programme under the examinership.
Ken Fennell said: "This scheme demonstrates the ability of companies to restructure their business operations in Ireland under the specific legislation available.
" This legislation, which is not currently being widely used by companies facing tough trading conditions, provides an opportunity for them to restructure their businesses and to propose a plan for survival."
Retail Director of Ladbrokes (Ireland) Ltd Jackie Murphy said: "We are pleased that the process is now almost complete and the business will soon be exiting examinership.
"Throughout this process we have always maintained that our company provided the best option for the future stability of the Irish business.
"We will now have a sustainable cost base for the company, allowing us to grow a competitive business based in Ireland, run from Ireland, which invests in Irish sport and supports the Irish economy."
