Someone has to find the buyers, handle the transactions, hold the bonds, make a market etc
What could go wrong ??
Prime brokers have to commit to buying a certain amount of government bonds from each issue. It’s a plum job at the moment because it’s a piece of piss to sell them, but they earned it for a few years after the crash
A lot will depend on the shareholding make up.
I’m sure it will be cheaper and more logical to buy pieces of it. The takeover of a people driven firm like that is very complicated. The likes of Davy Corporate Finance would probably just spin into a new brand and be a boutique. Institutional Equity sales would be attractive for an outsider you’d think
I’d know a few fellas on the rung below these head honchos and would feel very sorry for them. A lot of people have lost their jobs in far worse position than them in the last year but it isn’t easy having a family, mortgage and responsibilities & for it to be put in jeopardy by the greed of your bosses. By the sounds of it the older heads who bought it out had tight control of the equity even after they retired so I’m sure there were plenty waiting around for a while for their piece that will never get it now.
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It’s getting close to existential now. They knew it was coming but seem woefully unprepared for it
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There’s two things that stand out to me about this story
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How utterly inept and unprepared the response has been
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Why risk everything for a relatively small gain
The explanation for both would seem to be an unchecked deeply embedded arrogance that they were above consequences.
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I’m sure a few of them were spun the story at the time that this fella badly needed liquidity and they simply had the golden ticket.
Reflects terribly on the culture of the place though and the practices. I know that they would try to hang on as long as possible but they really didn’t think through the consequences for their employees. The ringleader had to be gone once that settlement was signed at the very least.
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They were able to get O’Byrne in from AIB for an amount in excess of the public sector pay cap and accept a ‘demotion’ to deputy CEO. Kind of looks like the bigwigs knew that heads would be rolling.
Yeah it’s bizarre. This would not have come as a surprise to them surely. The optics are awful and they seem constantly behind the curve.
If they don’t get ahead of it very soon they won’t survive this
The damage is done
As @tallback said yesterday though the brand is toxic. Davy would be known for their serious hustle in getting people with a few quid in the door. Who is going to trust that brand with their money now?
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You’ll win nathin with choirboys
He could just say he was working from home nowadays.
The Irish financial services community are not the brightest really.
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Am I correct that there was 16 ( sixteen ) involved in the Davy scam ?
That’s what has been touted anyway. Seems a lot of people to expect all to stay quiet.
For a few hundred grand each like.
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I was thinking that . Some level of connivance there .
Also @glasagusban should the Cuala all Ireland club final wins attract an asterisk ??
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There was a NaP man smack bang in the middle of this…
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The entire management structure by the sounds of it. It’s a wonder the head of compliance hadn’t a leg in it