Receiver appointed to Greenstar

The High Court has appointed Deloitte’s David Carson as receiver to waste company Greenstar.

Greenstar said it had “no choice” but to facilitate the banks in appointing the receiver following what it claimed was an “unexpected move” taken by its lenders in demanding immediate repayment of loans.

The firm owes more than €80 million to a consortium of banks that includes Bank of Ireland, Bank, AIB, Barclays and HSBC.

The business will be run as a going concern, and waste collections at commercial and residential customers’ premises will continue as normal.

NTR said Greenstar had made “every effort” to reach an agreement with the banks to secure the future of the business and its 800 employees.

“At this time, the banks have made their own decision about how they want to move forward and the future of the company is now in the hands of the receiver,” it said.

Greenstar deals with a million tonnes of waste a year, and provides waste services to both households and businesses around the country. Part of the NTR group.

The firm has been seeking an investor. Earlier this year there was speculation it could be sold to a US private equity firm.In the year to March 2011 Greenstar posted a loss of €64 million.

Mr Carson said there had already been expressions of interest in the firm, and his priority was to engage with those potential buyers.

From; Ciara O’Brian Irish Times

Leave a Comment