OVER 200 jobs in Limerick and Cork have been saved after the popular Cornstore and Coqbull restaurant chains have emerged from examinership.
The Irish arm of the Cornstore Group came out of examinership after being granted protection over a debt of €26.7million, according to the Irish Independent.
New investment in the group, which has three restaurants in Limerick, has come from Dublin-based Relm Finance, and will see the group’s London-based owner Padraic Frawley remain as director of the company.
According to Mr Frawley, the hospitality sector in Ireland had gone through the “perfect storm”.
“Ireland was cross-securing debt for expansion in London,” he told the Irish Independent.
“There was never any issue with Ireland. It was trading well for years and has been profitable without being sucked into the malaise of the various problems.
“We found ourselves put into administration quite suddenly, and then, as a result, I appointed an interim examiner to see if we could reach an agreement – which we did,” he explained.
The Irish and English arms of the group will now be split into two separate companies.
“We got fresh funding in Dublin for the Irish group, so Ireland is now totally separate from the UK. That is great news, as we have saved over 200 jobs in Limerick and Cork,” Mr Frawley said.
It is understood that the companies in the UK are the ones that were facing problems, with the Irish restaurants trying to service their debts.
Mr Frawley said that he felt confident in the future of the Irish companies, and would be investing in the businesses here.
The Cornstore Group has two Coqbull restaurants in Thomas Street and Castletroy, as well as the Cornstore, also on Thomas Street.
