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 a Special General Meeting (SGM) on Friday 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 the 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 holds a 28.9% shareholding in Glanbia plc, which is valued at more than €1.1 billion (* based on the Glanbia plc closing share price of €14.86 on 4 October).
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.
Continued Evolution
Commenting after the result was announced, John Murphy, chairperson of Tirlán Co-op, noted the ‘transformational outcome’ for the Co-op.
“This positive vote will provide our ambitious Co-op with greater flexibility to better manage our financial investments. The core aim of this 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 is another step change for our co-operative in its evolution.”
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.
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.”
