Shares worth €88 million redeemed under Kerry Co-op scheme

Shares worth almost €88 million have been redeemed under a scheme devised by the board of Kerry Co-op.

The board decided to go ahead with the scheme following a Special General Meeting held in Tralee last week.

In a statement, the board of Kerry Co-op says there were 1,475 applications for the share redemption scheme.

Following placing 835,000 Kerry Group plc shares by the co-op last Friday, the value of the shares sold was €87.7 million.

This gives a value of €619.50 for each Kerry Co-op share.

Payments for all applicants will be made by July 22nd and those applying for a partial redemption will be issued with new share certificates by August 10th.

The board says there will be a second round of the scheme in November; it adds that it is continuing to work on further initiatives that could lead to a capital scheme for members.

The redemption scheme has been the subject of controversy with the Kerry Co-op Concerned Milk Suppliers’ and Shareholders’ Alliance saying it is not the most tax efficient option.