BUSINESSMAN BILL CULLEN has lost control of Glencullen Holdings Ltd, which operated his last two Renault dealerships.
The deadlerships, in Airside and Liffey Valley in Dublin, employed a total of 45 people.
The news came after Ulster bank appointed Kavanagh Fennell as receivers to the company.
The bank is estimated to be owed €12 million, with The Irish Times reporting that Cullen made a letter of guarantee of €1.2 million as security against the loans, along with his life assurance policy.
Cullen is also the biggest creditor of Glencullen Holdings Ltd, believed to be owed a total of €19.5 million.
Earlier this year, 20 jobs were lost when Cullen closed his two other Renault dealerships, which were located in Ennis and Galway.
Below is the full statement issued to TheJournal.ie on behalf of Cullen:
It’s a sad occasion for Bill Cullen today that Ulster Bank has appointed Kavanagh Fennell as receivers to his Glencullen Holdings organisation. The Bill Cullen Motor Group (BCMG) is Glencullen’s main operation with the two former Renault dealerships in Dublin, one in Airside Motor Park in Swords and the other in Liffey Valley Motor Mall.
This reflects the poor state of the motor industry today with consumer confidence at an all time low and consumers not purchasing new cars. Combine that with the expenditure that car dealers invested in the large dealerships that were needed to meet the criteria for the car manufacturers.
Car dealerships built at Celtic Tiger prices have been written down by more than 70%. With the dreaded December budget on the horizon, the poor forecast for 2013 car sales does not give any confidence to the banks.
After 55 years in the Motor industry, Bill extends his thanks and gratitude to his customers, staff and supporters.
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