An Post may make windfall £36m from Esat investment
The State postal service An Post stands to make a windfall gain of almost £36 million as a result of its decision to buy 1.56 million Esat shares last October. These Esat shares were bought as part of the deal which saw Esat buy An Post's Post-GEM/IOL Internet subsidiary for £115 million last October. Under the terms of the deal, An Post paid $20.23 per share for the Esat shares, or a total of $31.6 million (£24.3 million).
The BT offer of $50 a share ($100 per ADR) now values An Post's holding in Esat at $78 million (£60 million), giving An Post an unexpected windfall gain of almost £36 million.