Professor Patrick O'Shea:

Tá an-áthas orm bheith ar ais arís anseo chun leanúint ar aghaidh leis an bplé a thosnaigh muid cúpla seachtain nó cúpla mí ó shin. Ar dtús, le cead, ba mhaith liom ráiteas a dhéanamh faoin gcomhpháirtíocht idir an ollscoil i gCorcaigh agus Foras Bainistíochta na hÉireann.

The Irish Management Institute, IMI, is Ireland's only executive education provider to be globally ranked by the Financial Timesfor customised executive education. It is ranked in 54th position globally, 25th in Europe and 9th in the whole of the UK and Ireland. The shared ambition of UCC and the IMI is to advance education by raising the standard of management in Ireland and by enabling organisations and individuals to fulfil their potential through world-class executive education. Partnering with UCC, the institute's future growth will be supported by research-led insight and expertise from within the university as well as the IMI's corporate membership community which together will continue to serve as the bedrock that connects the IMI to the needs of Irish organisations.

Our joint ambition stretches beyond Ireland's shores. The IMI and the Cork University Business School will forge significant international alliances and relationships with global reach. This combined with the institute's global ranking offers a unique value proposition that can consistently deliver distinctive world-class executive education to Irish and international students. The acquisition of the IMI by UCC is a great investment for the university, the institute, our students and the people of Ireland. The relationship has evolved over eight years and in the period 2011 to 2016, it took the form of an alliance which was launched by the then Taoiseach, Deputy Enda Kenny, in 2011. During that period, the governing body of the university considered the possibility of a formal acquisition of the institute on several occasions. However, the body decided not to proceed until it was satisfied that the conditions deemed necessary for long-term success were fulfilled. In January 2015, the governing body, based on extensive information and due diligence, approved the acquisition of IMI, subject to a set of conditions to be met in advance of the completion of the transaction. These conditions related to the absence of pension liabilities, the general financial position of the institute, settlement of any outstanding cases and approval by the Competition Authority of the transaction.

The acquisition was completed in November 2016 and is a complex and detailed arrangement which took several years to negotiate. Both organisations persisted over those years because they fully believed in the benefits for UCC, the IMI itself and for Ireland. We have outlined these benefits and other aspects in the papers that have been provided to the committee.

The value of the Irish Management Institute nationally and its significance to the business community has been recognised by the Government. At the launch of the alliance in 2011, the Taoiseach noted that the development was significant and welcome for its potential to greatly improve the capacity of Ireland's companies to compete internationally. Similarly, the Tánaiste, at the launch of the merger in January, emphasised the need for Ireland to have the capacity to develop the requisite calibre of business leaders to guarantee long-term economic success. The university shares these views and believes that this acquisition will be of real benefit to University College Cork, the Irish Management Institute and the State as a whole.

In summary, I would like to put the following on the record. No taxpayer or Exchequer funds of any kind were used by the university to acquire the Irish Management Institute. The acquisition is totally aligned with the university's strategic objectives and national priorities for lifelong learning. In my own career I have been associated with many universities, including the University of California, Duke University and the University of Maryland. All are institutions that operate to the highest standards of governance. In my short time at University College Cork, I can assure the committee that UCC also operates to those very high standards of governance and accountability and that this acquisition was fully compliant with those standards and with the Government's framework within which the university operates, and specifically with the powers of the university under the Universities Act 1997 and the powers vested in the governing body under that Act. The acquisition by University College Cork was fully disclosed to the Higher Education Authority in advance of the transaction close. The Higher Education Authority fully supported the transaction and recognised the benefits it would bring for students and business education in Ireland.

I wish to assure the members that University College Cork has not misled the committee with regard to the acquisition. Additional information was sought by the committee following our previous appearance in March. This was provided on 13 April and 9 May. We have also provided the committee today with supporting appendices and schedules. These will provide additional reassurance on the transaction.

I am accompanied today by the bursar and chief financial officer, Mr. Diarmuid Collins, the corporate secretary, Mr. Michael Farrell, and the finance officer, Mr. Cormac McSweeney. My colleagues and I are happy to address any questions that the committee may have on the IMI transaction.