Dáil Éireann Debate, Wednesday - 9 November 2022
32. Deputy Ged Nash asked the Minister for Finance the price achieved for each disposal of shares in banks (details supplied) since 1 January 2020; the number of shares sold in each of those transactions; the number of remaining shares he holds in each bank; and if he will make a statement on the matter. [55771/22]
Amharc ar fhreagra33. Deputy Ged Nash asked the Minister for Finance the price achieved for shares in a bank (details supplied) in each transaction since he began selling down the State’s shareholding following the financial crash; the total yield and individual price per share in each of those transactions; and if he will make a statement on the matter. [55772/22]
Amharc ar fhreagra34. Deputy Ged Nash asked the Minister for Finance the price achieved for shares in a bank (details supplied) in each transaction since he began selling down the State’s shareholding following the financial crash; the total yield and individual price per share in each of those transactions; and if he will make a statement on the matter. [55773/22]
Amharc ar fhreagraI propose to take Questions Nos. 32 to 34, inclusive, together.
As I have previously stated, the Irish Government believes that banking is an activity that should be provided by the private sector and that taxpayer funds which were used to rescue the banks should be recovered and used for more productive purposes. The State has made good progress in delivering on its policy of returning both AIB and Bank of Ireland ("BOI") to private ownership.
In June 2021, I announced that the State would begin selling its 13.9% shareholding in BOI through a trading plan. Given the success of phase one of the trading plan, I subsequently renewed the programme for a second and third phase, for which the details are set out in the table below. In September 2022 I announced the State had exited its shareholding in BOI, having achieved a higher price as each phase progressed, bringing total proceeds from the trading plan to €841m.
|
Phase |
Started |
Ended |
Start % |
End % |
No. Shares Sold (m) |
Average Price Per Share (cents) |
Total (€m) |
|
1. |
Jun-21 |
Nov-21 |
13.9% |
9.3% |
50.0 |
496 |
249 |
|
2. |
Nov-21 |
Mar-22 |
9.3% |
4.6% |
50.2 |
564 |
283 |
|
3. |
Apr-22 |
Sept-22 |
4.6% |
0% |
50.0 |
617 |
309 |
|
Total |
841 |
To 8 November 2022, the State has recovered €4.33bn of our investment in AIB by way of the IPO in 2017, phase one of the trading plan, the two share sales during 2022 and the bank's buyback programme Together these actions have reduced our shareholding from 99% to below 57%. The timeline by completion date and relevant details of these transactions are set out in the table below.
|
Transaction |
Completed |
Start % |
End % |
No. Shares Sold (m) |
Average Price Per Share (cents) |
Total (€m) |
|
IPO |
June-17 |
99.9% |
71.1% |
772 |
440 |
3,400 |
|
Phase 1 Trading Plan |
Jan-Jun-22 |
71.1% |
68.5% |
68 |
232 |
164 |
|
Share buyback programme |
May-22 |
70% |
70% |
28.5 |
245 |
64 |
|
Block Sale 1 |
Jun-22 |
68.5% |
63.5% |
134 |
228 |
305 |
|
Block Sale 2 |
Nov-22 |
62% |
57% |
134 |
296 |
397 |
|
Total |
4,330 |
Please note that phase two of the AIB trading plan, while now paused, is still on-going and we will disclose the proceeds from this when it has completed in January 2023.
