Vodafone finally moved this week to put hundreds of thousands of one-time stock market investors out of their misery.

It's all a far cry from 1999 when more than half a million people applied for shares in what was then Telecom Éireann. It was a heady time as then minister for communications Mary O'Rourke oversaw the flotation of the State telecoms company to great fanfare. Demand was such that most were disappointed in the small allocation granted.

It didn't take long for disillusionment to set in. The price of shares in Telecom, subsequently renamed Eircom and then Eir, was in decline long before the company sold its most valued asset – the mobile business Eircell – to Vodafone in 2001 allowing it to enter the Irish mobile market for the first time. Vodafone paid for its purchase in shares, the same shares the company is now offering to sell at a reduced, or no charge for shareholders.

The rest of Eircom was taken by a consortium led by Sir Anthony O’Reilly shortly after the Vodafone deal at a loss to shareholders. Since then, many have been looking to sell out, only to be frustrated by dealing commissions that would eat up to three-quarters of the remaining face value of the shares.

True, investors have had the benefit of dividends from the British telecoms group since 2001 but their original investment was still locked in at a time when many had had more than their fill of the market and would have chosen to use their money otherwise.

The experience of the Telecom Éireann shareholders, including the rump 335,000 who have stuck it out to this point, has been deeply damaging for those looking to encourage more active and personal investment in stock markets and other areas.

Once bitten, twice shy, the Irish people reverted to bricks and mortar only to be stung again when property prices crashed amid the financial crisis.

All in all, it’s been a salutary experience. Few would bet on many returning to the market.