Bank of Ireland praises Ross as investor sells up

Bank of Ireland has said it is grateful to US billionaire Wilbur Ross, who is selling his remaining stake in the bank.

The pioneering investment, which kept the lender out of complete State ownership, is being offered for sale after the investor turned a €300m gamble into more than €800m.

Mr Ross is leaving as a director of the bank with the sale of his stake.

Bank of Ireland said about 1.8bn units of shares in the bank will be offered on the markets.

Archie G Kane, chairman of the Bank of Ireland Group, paid tribute to the investor for showing confidence in the bank in the months after Ireland was forced into a bailout in late 2010 following the banking and economic collapse.

“On behalf of the board, I would like to thank Wilbur for his contribution, diligence and commitment as a board member,” said Mr Kane. “Wilbur was instrumental in the success of the 2011 capital raising and, throughout his tenure, we have benefited greatly from his insights.”

Bank of Ireland said it appreciates the comments Mr Ross made after the news of his sale broke, in which he said the decision was not a negative comment on the bank, and that his investment had been tremendous.

It is understood the reasons for the sell-off are to diversify an investment portfolio.

The shares will be offered by Deutsche Bank at around 27 cents each, compared to the stock market value of 10 cents the bank was trading at when Mr Ross invested.

The bank became the first of the Irish lenders to return to profit this year after the financial crash and a €4.8bn bailout.