Letter from Piotr to Noonan25 Jul 2011 13:23
Dear Sirs,
As you may know by now, we are a shareholder in Irish Life & Permanent Group Holdings pls (“IL&P” or the “Company”). We are supported by a very large group of IL&P shareholders, mostly individual shareholders, together with whom we now seem to represent more than 17% of the IL&P voting share capital.
We have written to you openly three times already and you have completely ignored us thus far. Following an extensive legal correspondence, there is still time to avoid costly litigation that is not in the interest of the Irish taxpayers or the IL&P shareholders.
The IL&P shareholders have spoken loud a clear – within 30 days we will find private investors to participate in the IL&P recapitalisation, which will ease the burden for the Irish taxpayers. Do not obstruct this process. From the State’s perspective, it should be absolutely imperative that the authorities do not under false pretences waste taxpayers’ money by unnecessarily pumping in billions of Euros into a bank that does not need it, while illegally expropriating the IL&P shareholders.
We have already spoken to one investment bank and they have confirmed that there are private investors interested in participating in recapitalisation of Irish banks, of which IL&P is a leading franchise.
According to an independent comprehensive valuation by a leading Irish broker: the IL&P's fair value -- no less than €2.0bn (€7.2 per share) and the "worst case scenario" value -- no less than €1.0bn (€3.6 per share).
IL&P has c. 130,000 shareholders, about 100,000 of whom are Irish citizens. It seems completely inconceivable that the Irish authorities would want to unduly and crudely deprive 100,000 of their own
citizens of the most basic ownership rights, while wasting taxpayers’ money under false pretences. But it is unfortunately true!
The IL&P recapitalisation will have widespread national and social implications in Ireland. Any unfair and illegal treatment of the IL&P shareholders will also adversely impact the future foreign investments in Ireland.
Sincerely,
Piotr Skoczylas
Managing Director and Fund Manager
Scotchstone Capital Fund Ltd
Landline: + 356 2788 8840
Mobile: + 356 9953 8000