Heather Humphreys (Cavan-Monaghan, Fine Gael) | Oireachtas source

I thank the Deputies for the opportunity to outline the position regarding the recent agreement to sell Ardmore Studios.

Ardmore Studios Limited is being sold to Olcott Entertainment. The sale was announced to staff on Friday morning last, 23 March and later that day to the public.

Over the past 60 years, Ardmore Studios has produced hundreds of international and national films and television productions and the studios continue to represent a vitally important part of the Irish film industry. Ardmore is the only studio in Ireland to offer seven international standard sound stages with full support facilities on site.

As the Deputies will be aware, Ardmore studios was approximately two-thirds owned by Ardmore Studios International Limited, ASIL, whose shareholders were seeking to exit, having been running the company for over 30 years. The other one third shareholding was held by Enterprise Ireland and resulted from an investment in 1986 by a predecessor agency called the National Development Corporation.

Over the past 30 years or so Enterprise Ireland's investment has been a passive one. Enterprise Ireland has no role in the international promotion of Ireland as a location for film production.

In 2016, Ardmore Studios International Limited engaged IBI Corporate Finance to investigate selling the company as a going concern. An extensive process was undertaken by IBI Corporate Finance to find a buyer, with over 100 potential parties contacted. Olcott Entertainment emerged as the only second round bidder.

Olcott Entertainment Limited is a new holding company set up by Mr. Joe Devine and Mr. Daniel O’Donoghue to acquire Ardmore. The lead investor, Mr. Devine, is currently chairman and a major shareholder in the Troy film studios in Limerick.

Troy has successfully set up and developed the studio from a standing start to the point where it currently hosts a production company with approximately 500 people working on a major production. Indeed, I myself have visited Troy Studios. They are currently filming a major new series there, namely, "Nightflyers". It is an adaption of a book by George R.R. Martin who, I am sure Deputies will be aware, was the author of A Game of Thrones.

It has huge potential. That is the sort of thing that the Minister, Deputy Madigan, and I, as well as all public representatives, would like to see replicated in other parts of the country. Enterprise Ireland negotiated the sale of its shareholding with the benefit of due diligence undertaken by independent consultants and is satisfied that it realised full market value on a par with the other parties. In examining the proposition, Enterprise Ireland took the view that continued investment is required in the studio facility to secure its long-term commercial future and the Olcott Entertainment deal provides the potential to breathe new life into the company at a time when the market for film production in Ireland is again showing strong growth potential.

I visited Ardmore in my previous capacity as Minister for Culture, Heritage and the Gaeltacht. I want to see those facilities used to their full potential. In that regard, Olcott plans to develop and expand the Ardmore studio offering and other related entertainment projects. Olcott also plans to retain the current experienced Ardmore management and staff. It is also important to note that the site cannot be used for non-film industry development without the agreement of Wicklow County Council to alter the current zoning restriction. It is up to the elected members of Wicklow County Council if they wish to change that zoning.

The Ardmore site is currently zoned for film use only and this protection is due to run for a further five years at least under the Bray municipal district local area plan. I think the elected members in Wicklow will see the benefits of having this zoned for film production. Taking all these factors into account, the Government therefore believes the sale to Olcott provides the best prospects for the commercial development of Ardmore, for the employment of the many skilled workers who have been employed in Ardmore productions over the years and for the attractiveness of Ireland as a location for international film production.

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