UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
under the Securities Exchange Act of 1934
For the date of 31 August, 2006
ALLIED IRISH BANKS, public limited company
Bankcentre, Ballsbridge, Dublin 4, Republic of Ireland
Indicate by check mark whether the registrant files or will file annual reports
under cover of Form 20-F or Form 40-F.
Form 20-F..X... Form 40-F.....
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ..... No ..X...
If "Yes" is marked, indicate below the file number assigned to the registrant
in connection with Rule 12g3-2(b): 82- ________
For Immediate Release 31 August, 2006
ALLIED IRISH BANKS, P.L.C. SELLS STAKE IN AIB/BNY
SECURITIES SERVICES (IRELAND) LTD
Allied Irish Banks, p.l.c. ("AIB") (NYSE: AIB) has today announced that it has
entered into a definitive agreement with The Bank of New York Company, Inc (BNY)
for the purchase by BNY of AIB's 50% stake in AIB/BNY Securities Services
(Ireland) Ltd. (AIB/BNY). The transaction, which will require regulatory
approval, is expected to be completed by the end of the third quarter of 2006.
The profit and capital impacts will not be material for AIB.
AIB/BNY Securities Services (Ireland) Ltd was established in 1995 as a joint
venture between AIB and BNY to provide a range of services for a number of fund
structures domiciled in Ireland.
The JV, which currently has USD$210bn assets under administration, employs 600
staff between its Dublin and Cork offices. The net assets of the JV as at 31st
October 2005 were USD$28.8m. Following the purchase of AIB's stake, all current
AIB/BNY employees will join BNY and BNY will be the sole owner of the operation.
Commenting on today's announcement Mon O'Driscoll, Head of Investment Banking,
AIB Capital Markets said:
"The agreement reached today is a natural and correct strategic decision for
both AIB and BNY. Since its formation eleven years ago, AIB/BNY Securities
Services (Ireland) Ltd. has grown to be one of Ireland's leading fund
administration companies. AIB's knowledge and expertise of the local market was
an excellent fit with BNY's global business model and the Joint Venture has
enjoyed considerable success. Having reached significant scale it was natural
for both parties to strategically review the partnership and decide how best to
continue and develop the business. Continued success in the increasingly global
custodial and funds administration business requires the focus and expertise of
a company offering the scale and international presence of BNY. With its
commitment to Ireland as a key part of its global funds administration platform
and its long and impressive track record as a leading provider of securities
service, BNY is ideally suited to take full control of the JV and ensure its
further development and success".
-ENDS-
For further information please contact:
Alan Kelly Catherine Burke
General Manager, Group Finance Head of Corporate Relations
AIB Group AIB Group
Bankcentre Bankcentre
Dublin 4 Dublin 4
Tel: +353-1-6600311 ext. 12162 Tel: +353-1-6600311 ext. 13894
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorised.
ALLIED IRISH BANKS, p.l.c.
(Registrant)
Date 31 August, 2006 By: ___________________
John O'Donnell
Group Director, Finance,
Risk and Enterprise
Technology
Allied Irish Banks, p.l.c.