New York investment banker Carlos Abadi was among the losers when Allied Irish Banks Plc imploded, wiping out $6.3 billion of junior bonds. Two years later, he’s willing to buy the lender’s debt again.
Allied Irish Banks Plc, the state- owned recipient of a 21 billion-euro ($28 billion) bailout, is easing terms on 2,000 mortgages a month, aiming to clean up its troubled loan book in time to woo new investors by 2014.
Ireland’s government said it sold its entire 1 billion euros ($1.3 billion) of so-called contingent convertible capital notes in Bank of Ireland Plc as investors bid for almost five times the amount on offer.
Ireland may need to inject 3.5 billion euros ($4.7 billion) of capital into Allied Irish Banks Plc by the end of the year, leaving it with a 90 percent stake in the nation’s second-largest lender, Stephen Lyons , an analyst with Dublin-based securities firm Davy, said.