Aer Lingus will be worth between €1.1 billion and €1.3 billion after it joins the stock market, according to document due to be published tomorrow.
Advisors have held 200 discussions with potential investors. In those contacts, investors have expressed strong demand for the shares which will be sold by the Government in the privatisation.
The document will say the airline will raise €530m of which €104m will go to the Aer Lingus pension fund.
The State will get cash of around €250m from the deal. It will also retain a shareholding of between 25% and 35%.
But the strong demand for the shares means the Government will have the ability to reduce its shareholding closer to 25% if it wishes.
The price of shares will finally be set on the night of 26 September. First dealing in the stock will begin on 27 September.
The current value of the airline before the flotation proceeds is €600m to €770m.
The document will show that its trading profits have remained flat at €19m for the first half of the year.
That is partly down to higher costs including higher fuel charges.
The figures will show its sales have increased by 12% to €508m. Its passenger numbers on European routes are up 12% to 3.6m. But customers on US routes have slipped slightly.
The Aer Lingus shares will be offered to domestic and international institutions. The public in Ireland and the UK will be allowed to buy, but a minimum subscription of €10,000 will apply.
