The High Court has adjourned issues regarding a rescue package for Cavan Crystal Glass Limited, which employs 80 people. The package has been approved, subject to modifications, by the court.
The matter was due before the court again yesterday but was adjourned by Mr Justice McCracken to Monday next.
At an earlier hearing it was agreed that £1.45 million fresh capital will be invested in the company so that it can trade as a going concern. A new management team is to take over the company and a new board of directors is to be appointed.
The investment agreement is between Cavan Crystal Glass Ltd (under court protection) and Mr Neil McKay, Woodlawn Park, Dungannon, Co Tyrone; Mr Tommy Hewitt, Killygarry, Dublin Road, Cavan; Mr Gerry Burns, Townhall Street, Cavan and Mr John Maher, Freshford, Co Kilkenny.
Part of the agreement involves Cavan Crystal licensing an English company, Bonair Communications Limited, to manufacture the company's crystal designs subject to Bonair investing £400,000.
The rescue plan, proposed by the court-appointed examiner, Mr David M. Hughes, also envisages that no less than £750,000 will be invested in the company within one month of the scheme coming into operation on July 28th next.
The package envisages the main debt of £740,000 being reduced to £500,000 with this latter sum being repaid to the Ulster Bank over a 14-year period.
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