Bank of Ireland to offer to buy out small shareholders

Brendan Burgess

Brendan Burgess

Founder
Messages
58,296
www.irishtimes.com

Bank of Ireland odd-lot offer will give locked-in shareholders an exit ... at a cost

Bank says it will announce plans to buy back holdings of 30 shares or fewer at some point over the next 18 months
www.irishtimes.com www.irishtimes.com

Bank of Ireland says that about 26,000 investors hold 30 or fewer shares in the bank – of which roughly 90 per cent hold between 20 and 30 shares. They account for 35 per cent of all shareholders by number but together the shares they hold amount to just 0.03 per cent of the bank’s issued share capital.
 
I think the rationale there is that the Bank has 76000 shareholders of which 25000 are small holdings, and the cost of dealing with shareholders is very high. They are also exiting the UK exchange listing. Apparently this will realise up to 530 euro per small shareholder.
 
Yes it was raised at the agm in 2025 by shareholders as aib had already done it
 
Brendan Burgess said:
Bank of Ireland says that about 26,000 investors hold 30 or fewer shares in the bank – of which roughly 90 per cent hold between 20 and 30 shares. They account for 35 per cent of all shareholders by number but together the shares they hold amount to just 0.03 per cent of the bank’s issued share capital.
Click to expand...
the last legacy of the banking crash of 2008 removing those shareholders , 30 shares of BOI now worth about 510 euros however back in 2006 they were trading around 15 euros or so but there was a 30 to 1 share consolidation in 2017. Therefore a shareholder with 30 shares now had 900 shares back in 2006 but that was worth circa 13500 euros, yikes. Just shows you the destruction of shareholder capital as a result of the banking crash the shareholders were the biggest losers of all, not the government, not the bond holders, not the workers.
 
That's how capitalism works - shareholders participate in the profits generated and bear the losses of failure

Anyone who invested in Apple thirty years ago has done well.

Shareholders elect a board of directors to look after their interests and can evict them if needed

In the case of the Irish banks, everyone, or almost everyone, got caught up in a fairytale where house prices could only ever go up and threw more and more cash into the housing market driving up prices through indiscriminate mortgage lending
 
I got my offer today.

If you don't want to sell, you have to fill in the form and tell them that. Otherwise, they will buy your shares by default.
Brenan
 
1789996469469.webp


1789996489064.webp
 
What's the threshold for being deemed an Odd Lot holder? We hold 184 shares. Should we receive an offer?
Edit: I see above that 30 shares seems to be the threshold.
 
Slim said:
We hold 184 shares. Should we receive an offer?
Click to expand...
Apparently not, the linked article (Fri May 29 2026) is quite specific
The offer will be open to any shareholders living in Ireland or Britain who, at April 16th of this year, were registered as having 30 or fewer shares in the bank.
Click to expand...
The only thing is that when you say you have 180, that you are not referring to 180, before the consolidation in 2017 which would have reduced 180 shares then to 6 today.
 
What are the costs of buying and selling these shares?
I thought such costs were far lower today than previously but avoiding those appears to be the incentive to take up this offer.
 
getting_on said:
What are the costs of buying and selling these shares?
Click to expand...

Selling BOI shares

I have 134 Bank of Ireland shares which are valued at approx 1300 euro. Computershare won't sell them and I was advised to contact Goodbodys or Davys. This is the response from Goodbodys 'Unfortunately, Goodbody cannot facilitate the opening of accounts that do not meet the minimum initial...
www.askaboutmoney.com
 
You must log in or register to reply here.
Back
Top