Permanent tsb Group Holdings plc (IRSH.L) said it has completed the sale of the Irish Life Group to the Minister for Finance for the previously disclosed amount of €1.3 billion. The successful conclusion of this sale process completes the recapitalisation of the bank as directed by the Central Bank of Ireland on 31st March 2011 and brings to €4 billion the additional regulatory capital invested in the Group since that date.
The company said that the completion of the sale also marks the legal separation of the businesses of permanent tsb bank and Irish Life. The two businesses are now fully independent with separate boards, separate management teams and separate ownership structures and they will operate independently of each other.
The Minister for Finance holds 99.2% of the shares in the company. Its principal business is permanent tsb bank.
The Irish Life Group is now 100% owned by the Minister for Finance on behalf of the Irish State and therefore it has no Stock Exchange listing.
To assist the smooth separation of the two businesses, Alan Cook will serve as Chairman of both companies until the end of the current year, the company said.
On the conclusion of the sale, Kevin Murphy and David McCarthy resigned from the Board of permanent tsb Group Holdings plc. Murphy and McCarthy continue on the Board of Irish Life as Group Chief Executive and Group Finance Director respectively.
Jeremy Masding [CEO of permanent tsb bank] has been appointed as Group Chief Executive of permanent tsb Group Holdings plc.
Murphy, who has reached the normal retirement age [60] for Group Chief Executive has advised the Board that he plans to retire by the end of the year and will remain in place to ensure a smooth transition to the new CEO, who will be selected following a formal selection process.
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