The Irish government is preparing to sell another 5% stake in AIB, bringing the total recovered from the bank's bailout to approximately €17.8 billion. This sale is expected to raise around €650 million and reduce the State's holding to 12.5%.
The State is preparing to sell more of its shares in AIB . The latest placing will bring the total recovered by taxpayers from AIB ’s €20.8 billion bailout to about €17.8 billion. Photograph: Dara Mac Dónaillby the middle of year as it launched another block sale of a 5 per cent stake in the lender on Monday evening.The last government decided to hold off on what had become a routine November stock placing two months ago as voters headed to the polls.
Analysts estimate that the stake will fall to zero by the middle of this year as AIB is expected to use hundreds of millions of euro of surplus capital on its balance sheet to buy back more government shares after it publishes its 2024 results in early March – and the Government continues a programme of drip-feeding small amounts of stock into the market.
The timing of the latest block sale of AIB shares follows a 44 per cent surge in AIB’s shares over the past 12 months to an all-time high of €5.785 on Monday. One of the first tasks Mr Donohoe faced when he was initially appointed as Minister for Finance in June 2017 was the sign-off on AIB’s initial public offering . He is seen as having missed a major opportunity to follow that up with more share sales as the stock continued to trade at high levels for the following 12 months, before slumping.
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