PTSB said it remains focused on concluding its takeover by Austria\u2019s Bawag as it characterised an announcement by a corporate advisory firm cofounded by a former boom-era banker as \u201chighly speculative and conditional\u201d. <\/p>\n
Axis Capital, cofounded three years ago by former Bank of Scotland (Ireland) chief executive Mark Duffy, said on Friday evening it was considering a bid for PTSB<\/a>, almost six months after the bank agreed to sell itself to Austria\u2019s Bawag<\/a> for \u20ac1.62 billion.<\/p>\n While it said any possible offer would be in cash at \u20ac3.20 per share \u2013 7.7 per cent above the agreed price with Bawag \u2013 it also signalled it has yet to line up funding for such an offer. <\/p>\n Shares in PTSB rose 1 per cent to \u20ac3 in early trading on Monday. <\/p>\n PTSB, which is 57.5 per cent Government-owned, said in a statement on Monday morning that \u201cno offer has been made by Axis for the company and that the announcement by Axis is highly speculative and conditional\u201d. <\/p>\n It added that the bank\u2019s board \u201cis focused on delivering value and certainty to the company\u2019s shareholders and, in accordance with its legal obligations, is continuing to work with Bawag to satisfy the remaining conditions\u201d of the agreement. <\/p>\n The High Court, which is overseeing the sale, which is being carried out by a so-called scheme of arrangement, is due to hold a sanctioning hearing on October 27th. <\/p>\n \u201cThe announcement may increase the likelihood of a higher-value outcome for shareholders and reduces the perception that the Bawag scheme is a foregone conclusion,\u201d said Denis McGoldrick, an analyst with Goodbody. \u201cHowever, until Axis can demonstrate a credible funding solution and progress to a firm offer, we continue to view Bawag\u2019s agreed transaction as the option offering the greatest certainty of value realisation.\u201d<\/p>\n Axis, which Duffy set up with German corporate lawyer Lutz Hartmann, had \u20ac100 of assets as of May 14th, the end of its financial year, according to an abridged set of financial accounts for the period filed with the Companies Registration Office. It said on Friday it will now engage with \u201ca number of potential funding and investment partners\u201d with a view to raising the necessary financing that would support the announcement of a firm intention to make an offer. <\/p>\n