The trading scheme for Farmer Business Development shares which closed on 10 September saw a huge uplift in the value of the company’s shares when compared with the previous event in 2023.

The final price at which all shares in scheme trading was €4.20 each. In 2023, the shares traded at €1.91, meaning there has been a 120% uplift in price over the last three years.

Unsurprisingly, shareholders in the company are understood to be delighted with the result.

The Irish Farmers Journal understands that there was considerable interest from buyers at the trading event, which pushed the price far ahead of the previously guided €2.80 per share.

Farmer Business Developments owns the FBD Hotels and Resorts group, as well as an almost 24% stake in FBD Insurance plc and other property and financial investments.

Dividend

The recent AGM of the company heard that it intends to pay a special dividend of 23 cent per share before Christmas, which the successful buyers at the trading event will be entitled to. This special dividend is in addition to the annual dividend of 18c per share.

If that total dividend level of 41c per share were to be sustained in future years, then it would give a dividend yield of almost 10% at the €4.20 share price.

While this event has now finished, it is likely to become an annual feature of the company and its shareholders.

Anyone wishing to take part in future trading events as a buyer can register with Farmer Business Developments.

Under the rules of the company, in order to qualify as a buyer, an investor has to establish that they are a farmer. The company will need to see three years membership of the Irish Farmers Association and three years of farm insurance through FBD plc.