Key Post - Predicting the date of Irish Nationwide demutualisation

I just heard on RTE radio 1 this morning that general electric have shown an interest in Irish nationwide sale .

I talked to their savings department today and they said they are still confident they can sell at good value because a lot of their buisness is in Britain . They also said interest had been expressed from a number of other companies including a few foreign ones .

This might not amount to much more than a hill of beans but for what it's worth thats the latest that I know about anyway .
 
Looks like INBS have been taking advantage of the quiet news season in August and been spinning hard with the journos to try and get some positive coverage!
 
I just caught the tail end of that report - I thought it was on Newstalk around 8.40 am. Since there are over 100 000 people hanging on hoping for 10 k , I thoght there might have been a bit more about it. It may not amount to anything, but I think a Decent Rumour at this stage is an advance on months and months of silence.
 
Landisbanki doing due diligence

In the business section of the IT this morning. Due diligence has started but not on an exclusive basis i.e. INBS still talking to others. No dates mentioned.

Other than what has already been discussed here there is not much more than that in the article.
 
In the Indo Yesterday was a small pice on INBS for sure not being sold this year. Hear their staff are tired of waiting with no rise in years & only promise of pay out if the sell. I think managment have do some thing wrong & should have sold when the iron was hot.

I am waiting until Aug next year when fix rate stops. Hope things have happened by then.

:confused:
 
This report appeared in RTE's news website today :

Friday, 31 August 2007 13:04
ICELANDIC BANK LOOKS AT IRISH NATIONWIDE - The Irish Times reports that Icelandic bank Landsbanki is understood to be examining Irish Nationwide's books, a move that brings it a step closer to bidding for the building society.
Landsbanki has had its eye on Irish Nationwide since legislation was passed this year allowing it to demutualise and seek a buyer.
At least three institutions have opened talks with the building society in recent weeks, the paper says.
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Landsbanki has hired international institution HSBC to advise on a possible bid for the group.
Yesterday it emerged that the Icelandic institution had begun carrying out due diligence at Irish Nationwide, although it is understood that this is not being done on an exclusive basis and that the society is still talking to other potential buyers.
Irish Nationwide has 125,000 members, who are either borrowers or savers with the building society. According to recent estimates, they stand to make anything between €10,000 and €15,000 from its sale, the article says.
 
Assuming this is true, anybody hazard a guess as to a date for demut.
thanks
 
Assuming these reports are true, I would guess at 1st quarter next year for conversion resolution. If multiple bidders are interested, surely it would take until at least year end for each to complete due diligence and then whatever negotiations that would have to take place.
 
Brendan said:
They are doing a sellers' due diligence and that may have come up with some major skeleton. I have reported what I believe to be systematic overcharging to the Financial Regulator. If they are investigating this, it could take a long time to investigate, sort out and refund to customers.
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I recieved the latest of my (4 cheques so far about €5000 total) from the INBS last month. These cheques relate to overcharging on 2 mortgage accounts from a few years back, so this is a sign that they are cleaning out their closets, but who knows how long this will take. The INBS made some serious howlers on my accounts so how many other people do the have to refund!!!
W
 


PMI

Please don't drag this very specific thread off-topic. Start a new thread, or better still, read some of the existing ones on the topic.

Brendan
Administrator
 
Alliance & Leicester down 31% as well today.

I think all bets on when the Irish Nationwide will be sold are off. No buyer in their right mind is going to want to buy a mickey mouse Irish outfit while there is blood on the streets in the UK.

This unease and uncertainty will spread to other banks and other sectors of the economy.

You ain't seen nothing yet.


Murt
 
Agree with you Murt. THis volatility would have serious pricing implications so Id say this is going to be shelved till things settle down. Otherwise we would be lucky to get €5k rather than the larger sums which had been mooted

Baldy
 
Exactly, guys. The 5th biggest Mortgage lender in the UK is sitting up on its hind legs begging to be taken over – INBS who???

As the New York cop would say to the crowd hanging around a murder scene. 'Move along folks, nothing to see here!'
 
Payoff by Christmas !!!! (this year?)


"Although some suggest the bank would be well advised to defer the sale until the current credit crunch subsides Michael Fingleton, the building society's chief executive, is keen to facilitate a sale before next January."






Murt
 
It's probably worth keeping the SIndo's track record of many years of supportive and forgiving coverage to INBS in mind when reading this article.

I guess the reference to next January relates to Mr Fingleton's 70th birthday. According to the society rules, he can no longer be a director once he hits this milestone.
 
Looks like the Irish Times business journos are keeping an eye on AAM - see post above and today's IT article as follows;

Pressure mounts on Nationwide boss
Irish Nationwide managing director Michael Fingleton is under increasing pressure to execute the sale of the building society after it emerged that he will have to leave its board when he turns 70 next January
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Nationwide hires Goldman Sachs for €1.5bn sale

Irish Nationwide is to appoint Goldman Sachs to handle the sale of the building society within the next ten days, The Sunday Business Post has learned.

The sale price will be over €1.3 billion and is likely to be closer to €1.5 billion, according to sources close to the process...............

[broken link removed]
 
could this process take until june 08 people as thats when i will have 2 yrs done. Thanks.
 
mosii said:
could this process take until june 08 people as thats when i will have 2 yrs done. Thanks.
Click to expand...

Personally, I think not. I think it will be finalised before Fingers needs to step down. If the sale of INBS is close to 1.5b then the owners (us) are likely to vote yes.

If we get €12k, that would be €10k net of CGT tax. (assuming mortgages are in joint names).
 
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