Blog: Debt payment saves Dunnes from winding-up order

Michelle Russell | 21 December 2012

Irish retailer Dunnes may be breathing a sigh of relief as it enters the Christmas break, assured it will still be trading in the New Year, after a wind-up petition has been withdrawn.

The group was reportedly facing a possible winding up of the company over its alleged failure to honour a EUR21.6m (US$27.9m) bill for building works at a shopping centre in Kilkenny. Dunnes had been issued with the petition by insolvent construction group Holtglen in a case listed before the Commercial Court, The Irish Times reported last month.

The pressure, however, is now off with the petition having been withdrawn following payment in full of the debt.

According to the Irish Times at the weekend, Brian O'Moore SC, for Dunnes, said the court was aware of the reasons why the money was not paid and that those reasons were "genuinely held".

Holtglen had constructed a shopping centre in Kilkenny in which Dunnes agreed to be the anchor tenant. The centre was completed in 2009 but Holtglen later became insolvent and its loans were transferred to National Asset Management, a company of the National Asset Management Agency (NAMA).

It is understood NAMA wrote to Dunnes in October last year warning that unless it was paid the sum within seven days, Holtglen would proceed to publish a petition to wind up the retailer on grounds it is "unable to pay its debts and/or it is just and equitable that it be wound up".


BLOG

Barilla puts sustainability centre stage

Barilla's 2016 results statement, published last week, makes interesting reading, not because of the Italian food group's commercial performance, but for the emphasis placed on sustainability achievem...

BLOG

UK M&A deal volumes slide in early months of 2017

Fresh data from Grant Thornton indicates the number of mergers and acquisitions in the UK food and drink sector fell to the lowest level for over two years in the first quarter of in 2017 - but the ac...

BLOG

Food policy returns to focus in Westminster

Amid the political turmoil in the UK caused by the EU Referendum, the resignation of a Prime Minister, subsequent burning debates over the Brexit “divorce” settlement and now by the surprise announcem...

BLOG

Danone closes WhiteWave, who will acquire Stonyfield?

Danone completed its US$12.5bn acquisition of WhiteWave Foods this week. The move will roughly double Danone's presence in North America, where WhiteWave is a top four dairy player. ...

just-food homepage



Forgot your password?