Tánaiste and Minister for Finance, Simon Harris, welcomes the announcement made by Permanent TSB Group Holdings plc (“PTSB” or the “Company”) this morning announcing the Recommended Cash Offer for PTSB by BAWAG P.S.K. Bank für Arbeit und Wirtschaft und Österreichische Postsparkasse Aktiengesellschaft, a subsidiary of BAWAG Group AG (“BAWAG”) (the “Recommended Cash Offer”). Under the Recommended Cash Offer, which has been unanimously recommended by the PTSB Board, BAWAG will acquire the entire issued share capital of PTSB. The Recommended Cash Offer values PTSB at €1.6 billion which implies a premium of 26% to the undisturbed share price and 45% to the undisturbed 6 month volume weighted average share price. At the Recommended Cash Offer price, the 57.5% stake held by the Minister will result in c.€931 million of proceeds for the State. The proceeds from this transaction will be held within the Exchequer while the Tánaiste examines how best to use them for the benefit of the State.
The Recommended Cash Offer is being made following the Formal Sale Process (“FSP”) undertaken by the Company and announced on 30 October 2025. The FSP was launched with the intention of identifying a new long-term owner of PTSB to support the next phase of PTSB’s growth and strategic development. The Tánaiste has remained supportive of the FSP and is pleased with the process undertaken as well as its outcome. Noting the PTSB’s Board recommendation, the Tánaiste supports the Recommended Cash Offer and has undertaken to vote in favour of the Recommended Cash Offer in relation to his 57.5% stake in PTSB.
The Recommended Cash Offer is expected to be implemented by means of a High Court-sanctioned scheme of arrangement, and will be subject to the conditions and certain further terms as detailed in the Company’s announcement this morning. There can be no assurance that the Recommended Cash Offer will result in a completed transaction.
Commenting on today's announcement, the Tánaiste said:
“I am pleased that the Formal Sale Process, which attracted a significant level of buyer interest, has concluded in finding a new owner for PTSB who has a long-term vision for and commitment to PTSB and the Irish economy.
The announcement by PTSB and BAWAG represents the most significant development in the Irish retail banking market in over a decade. PTSB has made great progress in building a strong competitive franchise in the market and BAWAG’s demonstrated deep knowledge of the European and Irish banking sector can propel PTSB to an even more competitive position in the market, with the benefits of this to be seen by Irish consumers, businesses and the Irish economy more generally.
The Recommended Cash Offer by BAWAG presents the State with the opportunity to exit its last remaining shareholding in an Irish bank after 17 years and represents another major step towards the normalisation of the banking sector in Ireland.
A sale of the State’s investment is consistent with the objectives of recovering taxpayer funds that were used to rescue the Irish banks and deploying these to more productive purposes. At a price of €2.97 per share the transaction will generate c.€931m for the State upon settlement. Through a combination of fees, dividend income, the bank levy and disposal proceeds the State has recovered c. €4.0bn from its investment in PTSB. On an overall basis, this means the State is c. €1.3 bn above break-even on its €29.4 billion investment in AIB, Bank of Ireland and PTSB from direct shareholding linked income and has recovered a further c. €1.8bn from the banking sector since the introduction of the bank levy.
PTSB is an important pillar of the retail banking sector and wider Irish economy, and it has made great progress in strengthening its continued sustainable growth to enhance competition in the market and provide choice to consumers. The State has and continues to be very supportive of PTSB, and the Government believes that it is in the long-term interests of PTSB and citizens in general that the Bank be returned to full private ownership and begin the next phase of growth.
I want to welcome BAWAG as the future owner of PTSB. BAWAG has built a strong franchise in other European markets and will support PTSB in its next phase of development and the Irish economy as a whole. I also want to thank the management of PTSB and my team at the Department of Finance for their dedication and professionalism in stewarding the Bank to this point.”
The Minister currently holds 313,382,197 ordinary shares in PTSB representing 57.5% of the issued share capital of PTSB.
The Department of Finance was advised by Rothschild & Co and William Fry LLP as financial and legal adviser, respectively, in relation to this transaction.
