DEBENHAMS’ Irish operations have been formally placed in liquidation.
A week after Limerick suffered a huge blow with the closure of the department store and the loss of 110 jobs, Kieran Wallace and Andrew O’Leary of KPMG have been appointed to formally wind the company up.
The company, which operated in Limerick at the former Roches Stores building at the corner of O’Connell Street and Sarsfield Street, sought an order from the High Court for its liquidation.
In a statement, Debenhams Retail Ireland Ltd said it will support the joint liquidators in order to get the best outcome for employees and creditors in this situation.
"It is with great regret that Debenhams Retail Ireland has announced that, having explored all other possible alternatives, it has had no option but to apply to the court today to have a provisional liquidator appointed to the business," it said.
The company said it employed 957 people across 11 stores in Ireland.
It said it understood that this was a very difficult day for its employees, adding that unfortunately, the decision was forced upon it by the withdrawal of the support of Debenhams Retail Ltd in the UK after the appointment last week of an administrator to its own business there.
"As a result, legally, the directors of Debenhams Retail Ireland Ltd had no other option but to seek the appointment of a liquidator," it added.
Limerick Fine Gael TD Kieran O’Donnell urged the company rather than to go into liquidation, go forward with an examinership process.
Having done this in 2016, the company was able to keep trading.
However, on this occasion, it said that option would not be possible this time.
"Unfortunately, the company has concluded that it is insolvent and unable to pay its debts, and there is no option but that it be wound up," it said, adding that regrettably there is no viable alternative.
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