Ireland to sell 5% stake in AIB in one go

·1 min read
FILE PHOTO: A general view of an AIB (Allied Irish Bank) logo

DUBLIN (Reuters) - The Irish government received sufficient demand to cover the sale of a 5% stake in Allied Irish Banks (AIB) in an accelerated book build on Monday, further cutting its majority shareholding, one of the joint bookrunners said.

Dublin has been gradually selling its shares in AIB since the start of the year through a share trading plan, and announced on Friday that it has raised 161 million euros ($170.5 million) by trimming its stake to 68.5% from 71.1% over the past six months.

Monday's placing will cut the government's shareholding in the country's largest mortgage lender to 63.5% and raise around 326 million euros. Goldman Sachs and Goodbody Stockbrokers are the joint bookrunners.

The government has also reduced its stake in Bank of Ireland, the country's largest lender by assets, to below 3% through a share trading plan over the last year.

($1 = 0.9443 euros)

(Reporting by Padraic Halpin; Editing by Jan Harvey)

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