A RESCUE plan to refinance Lissadell Towels in Carrickmacross, Co Monaghan has been completed and will be submitted to the High Court on March 11th for approval, it has emerged.

An eastern European investor is to invest £1.4 million in working capital and there will be 40 redundancies from the 140 strong workforce.

Lissadell is believed to have £1.7 million in bank debt with a further £1 million owed to other creditors. The firm manufactures towels for the hotel sector.

The company was put into examinership last December when Mr Jason Sheehy, chartered accountant, of Cooney Carey in Dublin, was appointed.