Glanbia Co-op Society Ltd has transferred around 10 million Glanbia plc shares to its 15,600 co-op members in a €174m spin-out.
The release of this value was endorsed in May by a 93% ‘yes’ vote from co-op members who voted on proposals from Glanbia in Gowran Park Racecourse, Kilkenny.
The share value rose from €17 in May to around €17.35 yesterday.
The transaction is aimed at releasing a portion of the value of the co-op society and making it available to members at a time of significant expansion and investment in the dairy industry.
On average, each co-op member will receive plc shares worth about €11,100 in this spinout.
Following the completion of the spinout, Glanbia Co-operative Society remains the largest individual shareholder in Glanbia plc, with 36.5% of the issued share capital.
This shareholding was valued at about €1.9bn based on the Glanbia plc official opening share price yesterday of €17.35.
The society also owns 60% of Ireland’s number one milk processor Glanbia Ingredients Ireland.
Glanbia Co-op chairman Henry Corbally said: “The strong appreciation in the value of Glanbia plc means that shares with a current value of approximately €530m have been transferred to our loyal members since 2013 and the society still retains a 36.5% plc stake worth approximately €1.9bn.
“It is also worth highlighting that while the society’s shareholding in Glanbia plc has reduced somewhat, our majority shareholding in Glanbia Ingredients Ireland remains unchanged at 60%.
"This is the business of most direct importance to our dairy farmer members,” he said.
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