Press release
Minister extends AIB share trading plan
Published on
Last updated on
Published on
Last updated on
The Minister for Finance Michael McGrath today announces the further extension of the AIB Group Plc (“AIB” or the “Company”) share trading plan into a third phase. The trading plan has been successful to date in gradually reducing the State’s investment in the Company and improving liquidity in the shares.
Proceeds generated from phase two of the AIB trading plan amount to c. €121.5 million and the average price per share achieved was €2.85. The trading plan has contributed to the State’s directed shareholding in the Company reducing from 71.12% at the beginning of 2022 to c. 57% currently.
Phase two of the trading plan was paused on 7 November 2022 for a period of 64 days following the latest AIB accelerated share sale by the State, and was otherwise due to end no later than 24 January 2023. The extension announced today will become operational in the coming days and will now end no later than 23 July 2023, unless further extended by the Minister.
In total, c. €286.4 million has been raised from the AIB trading plan since it became operational in January 2022.
In announcing the extension of the trading plan, the Minister commented:
“Given the success of the AIB trading plan since it became operational a year ago, I can see the merit in renewing the trading plan into a third phase. The plan has played an important role in reducing the State’s shareholding in AIB to c.57% currently, and I hope that it will continue to play a role in the future alongside other monetisation options, should they present themselves.”
In line with the government’s commitment to deliver best value for the taxpayer, shares will not be sold below a pre-determined floor price, which the Department of Finance will keep under review.
Merrill Lynch International (”BofA Securities”) will continue to act on behalf of the Minister in executing the trading plan. BofA Securities will continue to target that up to, but no more than, 15% of the expected aggregate total trading volume in the Company is to be sold over the duration of the trading plan. The number of shares sold will depend on market conditions, amongst other factors.
The Department of Finance is being advised by N.M. Rothschild & Sons Limited (“Rothschild & Co”) and William Fry LLP in relation to this transaction.