allocating proceeds - calculations 2, page-12

omec,

A share buyback requires determining on what terms, including price, to conduct it. Given the reduction in company earnings (after selling Sucrogen) and the uncertainty of future CSR earnings in this building cycle, I am unclear how a buyback could benefit the majority of shareholders.


I prefer to see management apply excess proceeds to pay an immediate return of capital and/or special dividend to shareholders. Without any high returning investment opportunities available to the company, it may be in shareholders best interests to get cash to reinvest in more profitable investments elsewhere.




Disclaimer
Please note that I am not providing valuations, advice, information, recommendations or predictions. The above statements are merely my own comments and thoughts as an ordinary shareholder without any special skills or knowledge. I absolutely disclaim any responsibility or liability whatsoever r for any consequences arising from the use of my comments and thoughts expressed. If you require advice or information, you should seek the services of an appropriately qualified independent expert professional person as well as do your own proper research.