AIB to delist from main Iseq market

AIB is to delist from the main market of the Irish Stock Exchange after today.

The bank, which has been listed on the Iseq since 1967 will also delist from the New York and London stock exchanges.

From tomorrow onwards, the bank's shares will be traded on the junior Irish market, the Enterprises Securities Market.

The bank's delisting comes after the Government secured a High Court order in December allowing it to pump a further €3.7 billion of State cash into AIB.

The State now owns 92.8 per cent of AIB.

In related news, AIB yesterday made a gain of €1.4 billion from a voluntary offer to buy back debt for 30 cent in the euro from subordinated bondholders. This will go towards the €6.1 billion in capital that it must raise before the end of next month.

The bank is purchasing about €2 billion of the bonds, paying a 70 per cent discount in an offer that was taken up by about 52 per cent of subordinated bondholders – a lower rate than expected.

The offer was open to subordinated investors in 11 outstanding bond securities holding about €3.9 billion of debt in euro, sterling and US dollars due by AIB.

The bank still has €4.7 billion to raise before the end of February to bring its capital levels to international standards under the EU- IMF overcapitalisation plan.