Musgraves sets up €10m fund to support Superquinn suppliers
The Musgrave group has set up a €10m fund to help cover losses experienced by some Superquinn suppliers since the supermarket went into receivership.
However the fund will only be made available if the Musgrave group's bid to buy Superquinn is successful.
The €10m fund will be administered by the joint receivers of Superquinn, and will made up of a financial commitment from Musgrave and from monies generated during the course of the receivership.
It is expected that the fund will enable suppliers not covered by credit insurance to recoup between 65% and 70% of their losses.
Payments of the fund will only begin once the purchase of Superquinn by Musgraves is approved by the Competition Authority.
In the meantime, Musgraves has set up a helpline (1890 80 40 49) for small Irish suppliers impacted by the events of Superquinn.
The Irish Farmers Association has welcomed the move by Musgrave to set up a fund, and said it could be difference between viability and bankruptcy for many suppliers.
