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Waterford Wedgwood buyer has big plans for tourist centre
Sunday, March 01, 2009 By Nicola Cooke
The company that has bought out Waterford Wedgwood has ambitious plans for the Waterford Crystal business, and believes there is potential to create a “newly-constructed world-class tourist centre” on the site of the current manufacturing facility, according to sources close to KPS Capital.

Deloitte receiver David Carson announced last Friday that New York private equity firm KPS Capital had agreed to acquire “certain Irish and UK assets of Waterford Wedgwood, and the assets of several of its Irish and UK subsidiaries”.

It is understood, however, that KPS has not agreed to take over the crystal manufacturing plant, where 480 jobs are still under threat. Production stopped at the plant when it went into receivership on January 5, due to large financial losses.

A source close to Friday’s deal told The Sunday Business Post that the new company KPS has created for the buyout has a “new capital structure” and will “not be taking on any of Waterford Wedgwood’s debt liabilities”.

“KPS has ambitious plans for the Waterford business and these will be revealed after the deal’s closure later this month.

‘The company has the potential to create new employment opportunities in the Waterford area, through the creation of a newlyconstructed world-class tourist centre at the site of the present manufacturing facility - that would showcase the local artisans’ [glass-blowing] skills,” the sourced said.

“An extension of the current retail premises would also be considered, but this overall project would require some investment by the Irish government authorities, and other interested parties.

KPS is willing to invest in this venture, and would expect it to significantly grow the tourist trade to beyond the current 300,000 annual visitors,” he said.

KPS will engage with Unite trade union in the next two weeks, to discuss the fate of the plant’s 708 employees - who have staged a sit-in at their workplace since January 5.

The union is seeking significant ex gratia payments for its members, and is still in negotiations with the government over the €100 million deficit in the workers’ pension fund.

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