BofI raises €2bn
Published 23/06/2011 | 16:58
Bank of Ireland (BofI) has raised just under €2bn after junior bondholders said they are willing to burden share in the recapitalisation of the institution opting to take shares rather than cash.
Earlier this month, the bank outlined details of an offer to bondholders aimed at making them shares in the cash-strapped bank.
The cash will be put towards the €4bn it needs to meet targets set by the Central Bank under stress tests.
Around three-quarters of the bondholders had decided on the offer by last night's first deadline - 95pc of these have opted to take shares.
BofI had offered them as little as 10c in the euro of the original value of the debt in cash, but 20c to 40c if they took shares in the bank with the conversion price of the shares set at 11.56c.