Eircom for sale again as company seeks to restructure €3.75bn debt pile
TROUBLED telecoms firm Eircom has been put up for sale.
Hit by competition and the recession, it is struggling to restructure €3.75bn in debt.
It is currently majority owned by Singapore Technologies Telemedia.
STT bought a stake in the former state-owned firm back in 2010 for €140m in a cash and shares deal.
It has had numerous owners previous to that deal.
However, Eircom is also partly owned by former and current staff through the Eircom Share Ownership Trust.
“This process will be conducted as part of the wider balance sheet remediation process currently underway,” the company said in a statement today.
Morgan Stanley & Co has been appointed to advise on the sale.
If it fails to find a bidder it could file for examinership which would help the debt restructuring process.
It would have to prove to an independent accountant that it has a reasonable chance of survival and arrange a scheme of payments to creditors.