SIAC Holdings Ltd have secured a new investor in a bid to save the company.
The Feighery family, the majority shareholders of SIAC Holdings Ltd, together with CEO Martin Maher, senior management, and other investors have agreed with Michael McAteer, the Court appointed Examiner, to rescue the SIAC Construction group of companies.
They are supported by former CEO Finn Lyden, Colas Teoranto and Ducales Trading No 2 Ltd, a private family investment company from the North.
The group of companies - which entered examinership in October last year - owes €42m to three separate banks as well as €26m to unsecured creditors.
The new investment will be in the trading businesses and is conditional on the Examiner’s Scheme of Arrangement being approved by the creditors and by the High Court.
The construction firm's difficulties arose mainly as a result of road-building ventures in Poland that fell through.
As part of the proposed new deal the company has said it will pursue the Polish authorities for the loss of business incurred.
Under the Examiner’s Scheme, 30% of any net recoveries from Poland will be used to reduce the shortfall of agreed creditors resulting from the Examinership.
These recoveries will be split 20% for agreed unsecured creditors of SIAC Construction Ltd and 10% to the property companies that are liable for the secured bank debt.
Creditor meetings are expected to be convened for January 27 next.
"I am relieved that subject to Creditor and Court Approval the SIAC Group established in 1913 can once again strive to be a leading Irish construction business," said Mr Maher.
"I would like to thank our creditors, clients, partners and employees for the patience and support that they have shown during this process and hope that the Scheme structure provided will in some way negate the difficulties experienced by the company’s creditors and preserve a significant number of jobs."