Medite sale and Department grants
Deputies asked about the proposed sale of Medite, potential Irish buyers, the Department’s influence given its timber sales and the plant’s importance to forestry, and the treatment of more than £3 million in grants. Moynihan said the Department’s interests would be monitored but declined to comment while negotiations were ongoing; he did not clarify whether grants would transfer or be repaid.
asked the Minister for Tourism, Fisheries and Forestry if he is aware of reports that the American owned fibreboard manufacturer in Clonmel may be sold; the implications, if any, the sale of the company would have for his Department in view of the large amount of timber sold by the Department to Medite; and if he will make a statement on the matter.
Comment on this
I am aware that the owners of the company referred to have been considering its disposal as a going concern, and that discussions in this matter have taken place with some interested parties. While such negotiations are in progress and until I know the possible outcome, I feel that it would not be proper for me to comment.
Comment on this
Could I ask the Minister of State if the negotiations will include the IDA and whether his Department will have any say in who the buyer might be in view of the investment involved by Medite and the effects that buyers without the same commitment would have if they arrived on the scene?
Comment on this
I can assure the Deputy that the interests of my Department will be fully monitored in relation to any discussions going on. It would not be proper to make a statement at this time while the negotiations are in progress.
Comment on this
Can the Minister of State say if the Clonmel plant is being offered for sale and, if so, is there an Irish interest involved in the proposed takeover?
Comment on this
The negotiations are in relation to a separate plant at Medite. There is nobody else involved.
Comment on this
As I have already stated, while negotiations are in progress it is not desirable that I should make any comment.
Comment on this
Could I draw the attention of the Minister of State to the fact that this is a very important and key industry. This company have a very significant and important part to play in the development of Irish forestry. It would be in the national interest that an Irish concern should acquire that plant. Could the Minister keep that in mind?
Comment on this
Could I ask the Minister of State in relation to the grants—
Comment on this
I understand that grants of over £3 million were made to Medite. What is the position in relation to those grants? Do they pass on to a new buyer or are Medite obliged to repay?