Siac earns €1.3 million profits in wake of restructuring

Building and engineering group, Siac, earned profits of €1.3 million in the months following its restructuring in early 2014, figures just released show.

Siac was restructured in February last year after its owners, the Feighery family, along with a group of other shareholders, invested €10.5 million in the business as part of a rescue plan put together by High Court-appointed examiner, Michael McAteer of Grant Thornton.

The group said on Thursday that it turned over €59 million and earned profits before tax €1.3 million during the 10 months to December 31st 2014. It had net assets of €11 million and €4 million in cash on that date.

Managing director, Martin Maher, noted that the board was pleased with the results.

“The civil engineering division continues to concentrate on a number of waste-water treatment, road and rail projects,” he said.

Other divisions, roofing and cladding and, asphalt and manufacturing also grew during the period.

Mr Maher confirmed that Siac is continuing to pursue its €113 million legal claim against the Polish roads authority.

Siac was forced to seek High Court protection from its creditors, including banks to which it owed €42 million, in October 2013.

A dispute over a contract with the Polish roads authority had left the group with cash-flow problems.

It is one of a number of Irish and European companies that are now taking claims against the Polish authority arising out of disputes over road-building contracts.

The Feighery family; Mr Maher; French-owned Colas Teoranta and the Ducales Group, owned by Belfast brothers, Thomas and Francis Jennings, put €10.5 million into the contracting business as part of the rescue plan.