Friday 23 March 2018

AIB rises on optimisim sales will fill capital deficit

Dara Doyle

Allied Irish Banks rose for a second day on optimism that the lender will be able to raise enough money by selling assets to fill a capital deficit without a sale of shares.

“It appears very likely that the bank could sell Poland as part of its recapitalisation plan and that progress in exiting the M&T stake is ongoing with with a number of strategic partners,” Bloxham Stockbrokers wrote in a note to clients today.

“The sale of the US and Polish stakes would provide €2bn in capital.”

Allied Irish Banks rose as much as 16.5 cents, or 13pc, to €1.41 in Dublin, and traded at €1.39 at 8:58am. Bank of Ireland rose 11.6 cents, or 11pc, to €1.21.


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