Capital Allocation & Who Dat Returns, page-33

Let’s see how Who Dat East goes, then Who Dat South. Success there might shine a better light on the acquisition for those who think they paid a full price.
I can’t think of anything more preposterous than expecting a dividend 4 months after the last cash raise though
If there is any thought of a div from the KAR Growth Story, I would suggest it comes as a replacement for the Bauna Contingent Payments. So this year, they’ll pay the full US78m, but next year it’s US$36m, so they have an extra US$42m up their sleeve they could use for a payout, then CY2026 is the final US$15m, so the div could be US$63m then US$78m thereafter… all just as a starting point and dependent on each year’s particular financial results of course. Just a suggestion if their hand is forced by the new activist interest, but personally, I give a monkey’s about a div, it goes straight out the SP on ex-div day anyway.
I’ve always enjoyed the risk factor with KAR. Retiree investors after divs can always buy a bank stock and hope they get to their zimmerframe in time before the next financial crash.