The price range for the flotation of up to 28% of AIB’s shares held on our behalf by the Government, was initially set early last week at between €3.90 and €4.90.

At the close of business last night, the 'Global Co-ordination Committee' of advisers to the sale, indicated a narrower proposed flotation price range of €4.20 to €4.60 per share.

The move is not a huge surprise, the mid-price of the initial wider range of €4.40, is also the mid-price of the narrower range.

Selling at that price would raise €3bn for the State.

The market was also informed last night that sufficient orders had been secured from large institutional investors to buy all the shares on offer in the "upper half" of the new guided range.

The final orders from retail investors were submitted last night. The Irish Independent reports this morning that these orders may run to about €500m in value.

These investors are likely to make up to close to 20% of the sale.

Private investors minimum buy-in is set at €10,000.