Ann: FY2022 Full Year Results, page-12

First 12 Last

Share
Profile

Follow
Klogg

3,818 Posts.

517

25/08/22

10:24

Post #: 63312963
Share

Originally posted by mistaTea: ↑

Yes you will. The details in terms of the exact mechanics of the pro-rate capital return are yet to be released...but it will probably end up being something like a 1 in 10 share cancellation.

Let's assume that is how they go for the rest of the lesson.

So they will cancel 17.47M shares (10% of the total shares outstanding). For each cancelled share they will pay out $4/share ($70M/17.47M cancelled shares).

By doing it this way they are to ensure everyone receives their share of the $70M without having to pay any tax.

So, if you own 10,000 shares - at the end of November Sky will cancel 1,000 of your shares and pay you $4000 tax free. At the end of the process, you will own 9,000 shares (and the share price should adjust accordingly upwards if the market cap remains unchanged).

It is a good plan, and they are able to execute the payment a lot faster than I initially thought (within a month of the vote on 2 November. The capital return plan has to get shareholder approval first. So they will share details of the exact mechanics of the capital return prior to the AGM so that we can vote on it).

Expand

One for the Aussie investors here....

Does this result in a reduction of purchase price on remaining shares (e.g. cost base is lower), or as a sale of the shares that are cancelled?

I understand in NZ there's no capital gains tax, but over here the authorities aren't so kind - hence my question.

SKT Price at posting: $2.38 Sentiment: Buy Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

I88

Infini Resources appoints Rohan Bone as CEO ahead of Phase 2 campaign

PSC

Prospect Resources: Replicating the success of Arcadia with ~1b tonne copper ore target

LRV

Larvotto hits "go" on Hillgrove Project

SS1

Sun Silver unveils Maverick Springs assay results

Investor education equals superior returns

First 12 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

(20min delay)
Last $2.76		Change -0.080(2.82%)		Mkt cap ! $379.9M

Open	High	Low	Value	Volume
$2.84	$2.84	$2.58	$68.75K	25.91K

Buyers (Bids)

No.	Vol.	Price($)
1	9615	$2.60

Sellers (Offers)

Price($)	Vol.	No.
$2.84	4037	3

View Market Depth

No.	Vol.	Price($)
1	9615	2.600
1	1000	2.590
1	3126	2.580
1	2000	2.570
1	3913	2.550

Price($)	Vol.	No.
2.840	4037	3
2.880	4964	1
2.900	30000	1
2.930	1200	1
2.960	1000	1

Last trade - 16.10pm 31/07/2025 (20 minute delay)

SKT (ASX) Chart

Ann: FY2022 Full Year Results, page-12

Infini Resources appoints Rohan Bone as CEO ahead of Phase 2 campaign

Prospect Resources: Replicating the success of Arcadia with ~1b tonne copper ore target

Larvotto hits "go" on Hillgrove Project

Sun Silver unveils Maverick Springs assay results

Investor education equals superior returns

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

Ann: FY2022 Full Year Results, page-12

Top Stories

Infini Resources appoints Rohan Bone as CEO ahead of Phase 2 campaign

Prospect Resources: Replicating the success of Arcadia with ~1b tonne copper ore target

Larvotto hits "go" on Hillgrove Project

Sun Silver unveils Maverick Springs assay results

Investor education equals superior returns

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News