Glanbia co-op to reduce plc holding
Glanbia co-op members have voted in favour of a deal to reduce the co-op’s shareholding in Glanbia plc to 41 per cent.
This was the third and final vote in a complex deal to form a new joint venture between the plc and Glanbia co-op which will be known as Glanbia Ingredients Ireland.
The new venture will be the largest dairy processing business in the country.
Under co-op rules, the deal had to be passed by 75 per cent of eligible members at two special general meetings.
The first, which saw the vote carried with an 82 per cent majority, took place two weeks ago and today's vote confirms that.
By voting to offload a further 10 per cent of the company, members will get a windfall as they will receive seven per cent of the ten per cent shareholding and can then sell or keep the shares.
That shareholding is worth about €157 million and farmers will receive, on average, between €15,000 and €20,000 worth of plc shares.
The remaining three per cent - some €67 million - will be used to help fund the ingredients business.