The transactions with shares in Arion Bank announced the week before last have been completed. Kaupskil ehf. has acquired the government’s 13% stake in Arion Bank and the government is therefore no longer a shareholder in Arion Bank. Arion Bank also acquired 9.5% of its own shares. These transactions were settled today, five days later than originally planned, and the purchase price of the sold shares therefore changed slightly in accordance with the terms of the agreement between Kaupskil and the Icelandic government. The Icelandic government is receiving ISK 23.5 billion for its stake in Arion Bank.
A total of 24 established Icelandic investment funds have come on board as shareholders in Arion Bank, with a total shareholding of 2.54%, and the shareholding of each fund is less than 1%. Two shareholders in the Bank have increased their stakes: Trinity Investments (Attestor Capital LLP) by 2.0% and the international investment bank Goldman Sachs by 0.8%. Kaupskil also sold 1.84% of its existing stake in Arion Bank in this transaction.
|Shareholders of Arion Bank who own more than 1% of the Bank’s shares – 26 February 2018|
|Trinity Investment Designated Activity Company (Attestor Capital LLP )||12,44%|
|TCA New Sidecar III s.à r.l. (Taconic Capital Advisors UK LLP)||9,99%|
|Arion banki hf.||9,50%|
|Sculptor Investments s.à r.l. (félag tengt Och-Ziff Capital Management Group)||6,58%|
|ELQ Investors II Limited (Goldman Sachs International)||3,37%|
Additionally 24 established Icelandic investment funds own combined 2.54% stake.
In accordance with the resolution passed at the shareholders’ meeting of Arion Bank on 12 February, where it was agreed to pay shareholders in the Bank ISK 25 billion in dividend, minus the share buyback amounting to ISK 17.1 billion, Arion Bank will pay its shareholders ISK 7.9 billion in dividend, which was conditional up on Kaupskil selling shares in Arion Bank. The dividend and the share buyback are consistent with the Bank’s long-term strategy of reducing excess capital, and the Bank’s capital ratio remains strong and well above the requirements made by regulators.
Kaupskil’s share of the dividend, ISK 4.4 billion, and the proceeds from the 1.84% shareholding in the Bank, ISK 3.3 billion, will go directly to the Icelandic government as a stability contribution, a total of ISK 7.7 billion. The Icelandic government will therefore receive more than ISK 31 billion from these transactions with shares in Arion Bank and the dividend.
Arion Bank received an award yesterday from the Retail Banker magazine for the Most Disruptive Innovation of the Year. The award was given for the Bank’s digital mortgages.
Arion Bank reported net earnings of ISK 1.9 billion for the first three months of 2018, compared with ISK 3.4 billion for the same period of 2017. Return on equity was 3.6%, compared with 6.3% for the...
The 2018 Annual General Meeting of Arion Bank was held today, Thursday 15 March, at the Bank's headquarters in Borgartún, Reykjavík. The agenda of the meeting contained standard AGM business and the...