Minister for Finance confirms plans to extend AIB share scheme

The State is to continue selling down its stake in AIB. Photograph: Aidan Crawley/Bloomberg

The Government has confirmed plans to extend the AIB Group share trading plan into a fifth phase, further reducing its bailout era shareholding in the bank.

Minister for Finance Michael McGrath said the plan, which has already helped the State cut its stake in the bank from 71 per cent to the current 40.8 per cent, is now set to end in July, unless it is extended further.

Proceeds generated from the fourth phase of the trading plan currently stand at €124.7 million, with the shares sold at an average rice of €4.23. In total, €824 million has been raised from the AIB trading plan since it became operational in January 2022.

“The AIB trading plan has played an important role in enabling us to gradually reduce our shareholding in the bank since it became operational, especially when opportunities for larger block trades were not available to us,” Mr McGrath said. “Therefore, I am happy to announce the renewal of the trading plan into a fifth phase. As before, we will continue to look at other disposal options, should they present themselves.”

Shares will not be sold below a pre-determined floor price, which the Department of Finance is keeping under review.

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Ciara O'Brien is an Irish Times business and technology journalist