Tirlán shareholders vote resoundingly for rule change to give more flexibility to manage investments

Pictured at Tirlán's headquarters in Abbey Quarter, Kilkenny were (LtoR) Frank Tobin, Chief Strategy and Investments Officer; Seán Molloy, CEO; John Murphy, Chairperson and Michael Horan, Chief Financial and Secretariat Officer. Photo: Dylan Vaughan.

Tirlán Co-op shareholders have voted overwhelmingly in favour of a proposal to change the rules of the Society to give more flexibility to manage its financial investments on behalf of Members. The result at today’s Special General Meeting (SGM) was in excess of 80% in favour of this proposal.

The meeting took place online in a virtual format as permitted under the Co-op’s rules, with 3,224 Members voting, and was supervised by the Irish Co-operative Organisation Society (ICOS).

Following today’s vote, the rules will change to allow the Board of the Co-op greater flexibility in managing its investment in Glanbia plc. Tirlán Co-op today holds a 28.9% shareholding in Glanbia plc, which is valued at more than €1.1 billion*.

The positive vote will facilitate the release of approximately €222 million* of value to Members through a spin-out of 15 million Glanbia plc shares, which will take place as early as possible in 2025.

Commenting after the result was announced, John Murphy, Chairperson of Tirlán Co-op, said: “This is a transformational outcome for our Co-op. Today’s positive vote will provide our ambitious Co-op with greater flexibility to better manage our financial investments. The core aim of today’s resolution is to drive farm family income, secure the future for this generation and, equally importantly, ensure we have a strong Co-op for the next generation.

“Tirlán Co-op has constantly evolved for over 100 years and today stands as a financially strong, innovative co-operative whose award-winning brands and ingredient solutions are enjoyed by consumers in 100 countries across the world. The strength of our Co-op today is a direct consequence of the decisions taken and support provided to the Tirlán Board over the years. The decision taken here today is another step change for our co-operative in its evolution.”

Speaking about the results, Tirlán CEO, Seán Molloy, said: “Today’s vote allows the Board of Tirlán Co-op the flexibility to manage its financial investments through our best-in-class investment governance structure and our committed and capable workforce.

“It will equip us to build greater resilience and empower our Co-op to target the best possible returns for all Members. Tirlán Co-op continues to remain a steadfast supporter of Glanbia plc and today’s decision will allow us more flexibility to manage our financial assets over the longer term for the benefit of our Members.”

Spin-out Value for Members

Tirlán Co-op will transfer, via share spin-out, 15 million Glanbia plc shares to all existing Members of the Society. Based on Glanbia plc’s closing share price of €14.86 on 4 October 2024, this would be worth approximately €222 million* to Members. John Murphy said: “This year, in particular, has been a difficult year on farms and it is important for our Co-op to support our farmers through challenging times. This spin-out will distribute a portion of the wealth of the Co-op to all our Members in 2025. It will take our total spin-outs to close to €1 billion* over the past 12 years. That is an extraordinary transfer of wealth to our farm families.”

*Based on the Glanbia plc closing share price of €14.86 on 4 October 2024.

Pictured were Frank Tobin, Chief Strategy and Investments Officer; Tom Phelan, Vice Chair; Seán Molloy, CEO; John Murphy, Chairperson; Ger O’Brien, Vice Chair, and Michael Horan, Chief Financial and Secretariat Officer. Photo: Dylan Vaughan

Voting Details

Eligible shareholders of Tirlán Co-operative Society voted on one resolution at the Special General Meeting (SGM) of Tirlán Co-op held today (4 October 2024).

The resolution was to remove Rule 4h)ii which sets out that the Tirlán Board cannot reduce the Co-op’s shareholding in Glanbia plc below 17%.

First Published 4 October 2024