Offer price will value Permanent TSB at around €2bn

Permanent TSB has initially priced its new share offering at a range of €3.90 to €4.50 per share which should value the company at around €2bn.

The banking group earlier this month confirmed it will use a public share offering to raise the bulk of the €525m it is looking for to pay back Government loans and shore-up capital shortfalls identified in last year’s ECB stress tests. Yesterday, it announced the expected price at which it will offer shares, ahead of its flotation on the main Irish Stock Exchange and secondary share listing in London.

“The price range for the placing has been set at between €3.90 and €4.50 per ordinary share. The mid-point of the price range implies a market capitalisation, at admission, of approximately €1.934bn,” the bank said yesterday.