Australia's largest stock trading and investment forum Australia's #1 stock forum

LLL

Click for more information

0.00%

50.5¢ leo lithium limited

Can they include the capital gain in the distribution to...

First 673 Last

Share
Profile

Follow
Pseudo19

541 Posts.

238

14/05/24

15:20

Post #: 73818156
Share

Originally posted by chrisman: ↑

I doubt Leo has much by way of accumulated losses. However Leo invested around $105m into the JV according to the last financial report (i.e. cost base).

From memory the initial 5% “sale” was by dilution and the subsequent 5% and 40% were selling shares in the dutch entity, so potentially $621m AUD subject to CGT, less cost base, less 50% discount.

Paying tax sucks but it could provide some motivation for Leo to pay a franked dividend to realise the value in the franking account, in addition to a return of capital.

I am also by no means a tax expert either, just thinking out loud.

Expand

Can they include the capital gain in the distribution to holders? Leaving holders to pay tax/use their own existing losses?
Taxing the gain in the hands of holders may increase the return for holders??

LLL Price at posting: 50.5¢ Sentiment: Hold Disclosure: Held
Upvote

0 Great analysis

Reply

There are more pages in this discussion • 88 more messages in this thread...

First 673 Last

Add LLL (ASX) to my watchlist