The Aer Lingus Employee Share Ownership Trust has notified the Minister for Finance, Brian Cowen, that it intends to excercise its right to buy an additional 2.8% share in Aer Lingus.
The shares are being acquired at a price of €2.20 per share, as part of an Option Agreement with the Minister.
The purchase, which is being funded by borrowings, will increase the ESOT holding to 12.6%.
The shares will reduce the government's shareholding to 25.7%.
The acquisition is expected to take two weeks to complete.
