Brendan Burgess
Founder
- Messages
- 52,264
AIB plans to mop up ‘worthless’ small stakes once valued at up to €120,000
A repurchase would crystallise large capital losses for pre-crash AIB investors, even if they could be used to offset tax on investment gains elsewhere
www.irishtimes.com
[AIB will ] launch a so-called odd-lot offer to acquire as many as 20 shares from individual investors, according to meeting documents posted this week. Sellers would be offered 5 per cent more than the prevailing share price as an incentive.
An offer for 20 shares would equate to cheque of a little over €100, based on AIB’s current stock price. However, if such investors were to sell their shares through a stockbroker the proceeds would almost entirely be absorbed by related fees, the bank noted.
Almost 69,000 of AIB’s 75,000 investors are in this small holdings category – but, combined, represent only 0.01 per cent of all its stock.