FBD soars 11% on dividend prospect

Shares in FBD jumped over 11% on rising hopes of a resumption of dividend payments, in time.

Analysts also said the sharp gains also came as the insurer said recent damage wreaked by Storm Ophelia is likely to cost it a lower-than-expected €4m to €6m, considerably less than the €15.2m incurred after Storm Darwin three years ago.

The potential for a positive ruling on its capital base could also boost the firm. In a trading update, FBD said that — discounting any further severe weather events in the remainder of the year — it was on course to deliver “low double-digit return on equity” earlier than previously indicated.