Wednesday 18 October 2017

Company that operates six Benetton shops given High Court protection

Ann O'Loughlin

THE company which operates six United Colors of Benetton stores has been given High Court protection against its creditors.

T&P Kavanagh Enterprises, Thurles, Co Tipperary, has debts of €1.4m with United Colors of Benetton being the main creditor, the court heard.

Jonathan Fitzgerald BL, for the company, said T&P Kavanagh, whose directors are Therese and Paul Kavanagh, employs 26 people.

Counsel said the company had built up a significant trade debt with Benetton, Italy  between 2007 and 2010 when it and the Italian clothing giant could not agree on a stock purchase agreement.

Management at T &P Kavanagh had worked very hard since 2011 and three stores in Thurles, Kilkenny and Dungarvan had been turned around and were showing a profit, he said.

Three other stores in Carlow, Tullamore and Athlone are in areas of increased competition and a question mark lies over their viability, he said.

The company owes €86,000 to the Revenue Commissioners.

Mr Justice Brian McGovern appointed Jason Sheehy of P&A Partners as interim examiner noted from documents that the directors felt the company has a reasonable prospect of success if granted examinership.

The case will come before the court again on November 14.

 

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