Milbank Advises on Divestment of Icelandic Ministry of Finance and Economic Affairs’ 45.2% Stake in Íslandsbanki hf.

Milbank LLP advised the Ministry of Finance and Economic Affairs on behalf of the Treasury of Iceland and Íslandsbanki hf. on the Government of Iceland’s divestment of its 45.2% stake in Íslandsbanki through a fully marketed offering.  The offering, which settled on May 23, 2025, raised gross proceeds of ISK 90.5 billion (approximately US$700 million), was the largest ever offering of shares in Iceland and marked the final phase of the privatization of the bank. 

With a history that dates from 1875, Íslandsbanki is an Icelandic universal bank with a strong customer focus. Íslandsbanki’s banking model is led by three business divisions: Personal Banking, Business Banking, and Corporate & Investment Banking.

The Milbank team was led by Corporate Finance & Securities partner David Dixter and associate Panos Tsezos. The team also had assistance from Corporate Finance & Securities associate Christina Mouttet, and New York Tax partner Andrew Walker and associates Michael Rivkin and Michelle Song.