Wednesday 21 March 2018

Mulryan eyes up disposals to generate fresh capital

Emmet Oliver Deputy Business Editor

Sean Mulryan's European property company plans to sell off assets and look for alternative sources of funding to generate fresh working capital and reduce debt.

Ballymore International Developments has €270m of loans in need of refinancing this year alone and getting agreement from lenders on this will be key for the company's strategy, the latest accounts for the firm disclose.

The company lost €117m during 2009 having taken impairments on its assets. A business plan has gone to NAMA after the company's Anglo Irish and Bank of Ireland loans were transferred over to the state company.

Ballymore has prepared a financial plan to the end of 2012, which is based on several key assumptions, including getting fresh funding.

"The group will realise sufficient cash through new financing sources/and or property disposal transactions during the course of 2010 that will enable it to meet its working capital and other commitments as they arise," the accounts state.

The company is also waiting on planning permissions from its key markets, although it got positive news in March when its landmark Eurovea project on the Danube opened. The company had net debt of €888m at the end of the financial period, up from €685m in the previous year. Cash comes in at €28.1m.

Irish Independent

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