A&O, Cleary and Herbies lead on Bank of Ireland fundraising

Allen & Overy (A&O), Cleary Gottlieb Steen & Hamilton and Herbert Smith led a clutch of firms advising on Bank of Ireland’s (BoI) e3.4bn (£2.9bn) ­integrated debt and equity capital raising.

Corporate partner Alun Eynon-Evans and capital markets partner Stephen Miller led the way for the A&O team that advised longstanding client BoI on both the debt and equity ­elements of the deal.

Herbert Smith advised arrangers Citi, Credit Suisse, Davy, Deutsche Bank and UBS on the equity part, which involves a rights issue and institutional shares ­placing worth a combined e2bn. The team featured incoming head of corporate James Palmer as well as ­corporate partners Charles Howarth and Adam Wells.

Cleary advised the joint bookrunners on the debt aspects, with capital ­markets partner Pierre-Marie Boury leading.

Other legal advisers on the deal included A&L Goodbody and Arthur Cox, which acted for the banks and BoI respectively on Irish law, and Sullivan & Cromwell, which advised BoI on US law.

Miller said: “It’s an ­excellent deal for us to be on as it’s quite a large transformational exercise. It’s a turning point for the bank as it will allow it to transfer out of state ­support.”

Howarth added: “It was a complicated deal and to come out of it with ­people thinking you’ve done a good job is positive. It was one of these things that you have to get right: it’s not just one company but the whole economy of the country at stake.”

Part of the capital raising will see around half of the Irish government’s e3.5bn in preference shares converted into ­ordinary shares.

Herbert Smith and A&O have previously advised BoI and it is ­understood that both firms were invited to pitch for roles on the underwriter and issuer sides.