The price range within which the Government’s AIB shares will begin trading has been revised days before conditional trading of the bank’s stock is set to begin.
Last week a price range of €3.90 to €4.90 per share was placed on the shares as the Government published the prospectus ahead of the flotation of 25% of its near total holding in AIB.
The formal starting price is set to be unveiled on Friday when conditional trading in the shares commences. However, the price range was revised with a higher floor price, yesterday, to between €4.20 and €4.60. It is believed that demand will see the formal price set at the upper end of that range; somewhere between €4.40 and €4.60.
Unconditional trading in the new AIB shares begins early next week.
The Government, owed nearly €21bn from its AIB bailout, is hoping to recover up to €3.8bn from the first tranche of its AIB share sale.
Meanwhile, a businessman who is trying to prevent the sale of the Government’s shares in the bank wants to bring his case to the Supreme Court.
Last week the Court of Appeal struck out Vincent O’Donoghue’s appeal of the High Court decision to dismiss his action against AIB, the Minister for Finance, the Government, Ireland and the attorney general over the share sale.
He has now formally applied for permission to appeal to the Supreme Court on grounds his action raises a matter of general public importance. In his action, Mr O’Donoghue — with an address at Church St, Dublin 7 — seeks a declaration that the proposed sale is contrary to the common good and was contrary to Article 6 of the Constitution and is unlawful. He says there is an obligation on the judiciary to intervene in the share sale and prevent the Government from “acting unlawfully” when it intends to act in a manner that is contrary to the common good.
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