Sunday, February 17, 2008

Ireland- The clash of the Titans: Denis O'Brien V Tony O'Reilly

Much of the bad blood between Sir Anthony and Denis O’Brien has its origins in the award of the mobile phone license to the Esat Digifone Group in 1995. O'Brien had a 40% shareholding in Esat. O’Reilly was part of an opposition consortium that failed to secure the license. Tony O'Reilly wrote to the congratulate Denis O’Brien. Nevertheless Independent Newspapers strongly criticized the process. This has angered O’Brien. Ever since relations have been poor.
O'Reilly bested O'Brien in the battle for Eircom.

In January 2006 Denis O’Brien first took a shareholding in the Independent Group.
The relationship between the two further deteriorated in 2007 as O’Brien began to increase his stake.
He accused O'Reilly of cronyism. A report specially commissioned by O’Brien claimed that the board of the Independent was filled with friends, allies and family, and challenged expenses paid to executives.
O'Reilly threatened to sue for libel unless the report's authors retracted their claims.

O’Brien holds c 18% stake in the Indo Group whilst O’Reilly holds c 26.6%. O’Brien make yet launch a take over bid.
This week Giovanni Trapattoni was chosen as the new manager of the Republic of Ireland soccer team. It transpired that Denis O’Brien has agreed to contribute €1.5 million as part of the financial package to lure Trapattoni.
Today’ Sunday Independent leads with the heading “ FIFA to scrutinise O’Brien’s FAI deal”. The article included the following “The significant development will cast a shadow on the appointment of the new manager and could have serious implications for the Football Association of Ireland (FAI)”.


It also goes on to state “The spokesman for FIFA said: "At present there appears to be no regulation to prevent the deal, but certainly we will be seeking further official details from the national organisation and we are investigating the matter. Beyond that, I cannot comment."


On p29 there is an article by Daniel McConnell titled "True cost of landing Trapattoni is the very integrity of Irish football."

On the back page of the business section Shane Ross in an article titled "Money can't buy me love" savages Denis O'Brien. Embedded in this article is a photograph of Denis O'Brien. Beneath it is a caption titled: "Denis O'Brien: One of his army of spinners must have told him of the benefits of soccer patronage."

This article is quite personal. Ouch.


The battle between the two Titans goes on and on. But who will win???

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