Bank of Ireland follows through on Davy sale threat

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Bank of Ireland follows through on Davy sale threat
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Lender formally holds back on paying out about €15m of original sale price

Bank of Ireland has formally withheld about €15 million from the purchase of Davy Stockbrokers that it had been expected to pay to the former owners of the nation’s biggest securities firm.

The bank “paid to Ailmount a significant proportion of the deferred consideration, based on the number of agreed criteria met at this point” on Friday, a Bank of Ireland spokesman said in an emailed response to questions. This is the second set of legal proceedings between the two sides. Ailmount, whose shareholders include former Davy chief executive Brian McKiernan, launched a commercial court action against the bank in July over its alleged failure to make a payment tied to the bank’s takeover of the broker.

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