Cairn Homes have converted 38.68 million founder shares into ordinary shares.
The move, announced Thursday, converted more than €60 million worth of founder shares held by Michael Stanley, the company's chief executive, his brother Kevin, the chief commercial officer, and investor Alan McIntosh.
Mr McIntosh is Cairn’s 12th largest shareholder, holding 3.21 per cent of the company. His 19.3 million shares were converted at a price of €1.58 per share meaning they are worth over €30.7 million.
Meanwhile, Michael Stanley’s 13.5 million shares are worth €21.49 million, while Kevin Stanley’s shares are worth €9.21 million.
The conversion comes due to an incentive scheme that requires the company to meet certain targets that include increasing its value by 12.5 per cent.
Analysts estimated yesterday that the move would dilute the value of Cairn’s existing ordinary shares by 5.4 per cent.
The company’s share price was unchanged in Dublin but was up 0.31 per cent at €1.62 in London’s early trade.
