While the banks’ day to day operations are managed on an arm’s length basis and are governed by published Relationship Framework Agreements, the Division is responsible for monitoring the overall strategic direction of the banks and for developing and executing plans to optimise the value of the State’s investments. As part of this process the Division engages intensively with the banks on a range of issues, while respecting the commercial independence of each institution.


The Division is comprised of 18 people who are either Civil Servants or secondees from the National Treasury Management Agency (NTMA) and have a range of skills and expertise in investment banking, corporate finance, debt/equity capital markets, equity research, banking, accounting and law.


Members of the Division were instrumental in overseeing the State supported recapitalisation of the Irish banks in recent years but with the sector now recovering, its work has progressed to pursuing strategies designed to recover this investment.


Significant transactions that have been led by the Division include the following:


  • Oversight of the recapitalisation and deleveraging at the Covered Banks, as part of the Central Bank’s 2011 PCAR/PLAR programme


  • Acquisition of Irish Life in 2012 and subsequent sale in 2013 for €1.3bn with an additional dividend of €40m paid to the State in 2013


  • Design, negotiation and implementation of the transaction to replace the IBRC promissory notes with long dated Irish government bonds in 2013


  • The Special Liquidation of IBRC


  • Publication of a report in relation to the progress of NAMA under section 227 of the NAMA Act


  • Management of the sale of the State’s €1bn investment in Bank of Ireland’s contingent capital notes in 2013


  • Management of the sale of the State’s €1.8bn preference shareholding in Bank of Ireland’s in 2013


  • The re-IPO of PTSB which involved a migration to the main markets of the Irish and London Stock Exchanges, a €400m primary issue, €98m secondary issue and €125m AT1 issue


  • Management of the restructuring of AIB’s balance sheet in 2015 with the return of c.€1.7bn in cash to the Exchequer. This included the partial redemption of the 2009 Preference Shares and the cancellation of the EBS Promissory Note


  • The re-IPO of AIB in June 2017, raising €3.4 billion for the exchequer which was one of the largest IPOs globally in 2017