Íslandsbanki bank’s shareholders now number around 24,000 following a share offering that ended yesterday, more than any other company listed on Nasdaq Iceland. The bank remains 65% in state ownership, with 24% now in the hands of domestic investors and 11% held by foreign investors. Finance Minister Bjarni Benediktsson celebrated the campaign’s success, stating that it reduced state risk and provided funds for upcoming development projects.
“It’s gratifying to see the results of Íslandsbanki’s successful offering,” Bjarni stated. “High demand and participation from the public is particularly gratifying, and Íslandsbanki will have more shareholders than any companies registered on the Icelandic market. This is not least due to the decision to allow subscriptions for as little as ISK 50,000 [$512/€340] and leave individual subscriptions of up to one million krónur [$8,250/€6,800] intact. The sale is profitable for the treasury and will be useful in the development that lies ahead in the coming months. Most importantly, however, we are taking the first step here in reducing the state’s risk in banking and moving closer to a healthier environment as is the case in the Nordic countries and our other neighbouring countries.”
One of Iceland’s three largest banks, Íslandsbanki was 100% in state ownership before the share offering. Of the other two, Arion Bank is privately owned and Landsbankinn is 98.2% state-owned. Iceland’s current governing coalition prioritised reducing state ownership of financial institutions in the government agreement made at the beginning of its term.