HALF of the shareholders in Allied Irish Banks - some 19,600 - have opted to receive shares instead of cash in respect of the 5.95p per share interim dividend, resulting in the issue of 1.78 million new shares.

As a result of the strong take up of the scrip dividend, £6.3 million - just over 15 per cent of the total cash dividend - has been reinvested by AIB. The new shares were issued at 354p each, the average price for the five days from August 12th. AIB shares are currently trading at 367p.