An interim examiner has been appointed to the Killarney Brewing & Distilling Company (KBD).
It comes as the company, which has 56 direct employees, filed a petition to the High Court yesterday.
In that petition, the firm said it believes examinership is the most viable path to secure the company’s future.
“It is our belief that this decision will safeguard employment, stabilise operations in the medium to long term and secure a sustainable future,” the company said in a statement.
KBD said it has endured “unprecedented” challenges during and following the Covid-19 pandemic.
“These included surging raw material costs, significant supply chain disruptions, delays in opening the Fossa distillery, whiskey inventory supply gluts, and broader geopolitical uncertainties.
“Collectively, these issues have placed significant pressure on the business and negatively impacted both revenue and profitability,” it added.
Earlier this year, KBD reached a preliminary agreement to merge with a US-based strategic partner.
However, that partner recently made the decision not to proceed with the transaction.
James Anderson, Partner at Deloitte Ireland was appointed as interim examiner to the company.
Mr Anderson said he is “committed to working with the company and all stakeholders to achieve a successful outcome”.
