NatWest Group PLC on Friday said it jointly sold 54.6 million shares in Dublin-based lender Permanent TSB Holdings PLC, alongside the Minister for Finance of Ireland, for a placing price of €2.025 per share.

The Edinburgh, Scotland-based lender disposed 27.3 million ordinary shares in Permanent TSB, with the overall disposal representing 10% of the Dublin bank’s share capital. The shareholders will receive around €55.2 million each from the share placement.

NatWest said its shareholding in Permanent TSB will be reduced to 63.6 million from 90.9 million, retaining a 12% stake in the Irish bank.

This comes after NatWest announced on Thursday its intention to sell part of its shareholding in Permanent TSB through an accelerated book building process.

Back in November, Permanent TSB entered into a shareholder co-operation agreement with NatWest and the Minister for Finance of Ireland, relating to shares held by the Minister, as well as shares issues to RBS AA Holdings UK Ltd, a wholly owned subsidiary of NatWest. Permanent TSB issued 90.9 million shares of 50 euro cents each to NatWest’s subsidiary, after acquiring around €6.2 billion of loans and assets in NatWest’s Irish unit, Ulster Bank.

The settlement of the placing will take place on June 6.

NatWest Chief Executive Officer Alison Rose said: ‘This transaction represents further positive progress on our phased withdrawal from the Republic of Ireland.’

Permanent TSB on Friday noted NatWest’s announcement, with CEO Eamonn Crowley commenting: ‘We welcome the decision by the Minister for Finance, Mr Michael McGrath, and NatWest to dispose of shares in PTSB in accordance with the terms of a shareholder cooperation agreement. This is another important step in normalising the composition of our shareholder base and creating further liquidity in the bank’s shares.’

Shares in NatWest were flat at 263.40 pence each in London on Friday morning. Permanent TSB shares were flat at €2.26 each.

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