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Simon Harris said the offer from BAWAG 'was superior to all other proposals'. Alamy
BAWAG
PTSB was just sold to a bank you've probably never heard of
PTSB received approval from over 91% of shareholders to proceed with the cash offer to acquire the bank.
PTSB SHAREHOLDERS HAVE approved a €1.6 billion takeover by Austrian bank.
The purchase of PTSB by Austria’s fourth-largest bank, BAWAG PSK, was unanimously recommended by the PTSB Board back in April.
PTSB today received approval from over 91% of shareholders to proceed with the cash offer to acquire the bank.
The shareholders voted at two meetings held in the Conrad Hotel in Dublin this morning to consider the matter.
Julie O’Neill, chair of the PTSB Board, remarked that while there are important steps to complete before the transaction is finalised, “this is a very significant day”.
She said she is “very pleased” that over 91% of shareholders voted in favour of the proposed acquisition by BAWAG.
O’Neill said the board had been “carefully examining options” on the long-term ownership of the bank for the past two years and that this deal “delivers the best possible price for shareholders and the best outcome for PTSB”.
She added that the acquisition also “has the potential to deliver significant benefits for customers and to enhance competition in the market”.
O’Neill also noted that customers are not impacted by today’s announcement, and that the bank will continue to service customers as normal.
PTSB will mark its 210th anniversary next month and O’Neill said the “acquisition honours our proud history and positions the bank strongly for its next phase of growth”.
She also thanked finance minister Simon Harris and the government for its support of since the financial crisis.
It’s understood that the 57.5% stake held by the Department of Finance will result in around €931 million of proceeds for the Irish State.
O’Neill said that upon completion, the State’s €4 billion investment in PTSB will be fully repaid and the bank will return to full private ownership.
Harris said the offer from BAWAG “was superior to all other proposals”.
He said that adding BAWAG’s “deep knowledge of the European and Irish banking sector can propel PTSB to an even more competitive position in the market”.
“The government believes that it is in the long-term interests of PTSB and citizens in general that the bank be returned to full private ownership and begin this next phase of growth,” said Harris.
He said he looks forward to engaging with BAWAG and he also thanked the management of PTSB and the Department of Finance for their “dedication and professionalism throughout this process”.
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