Hi all, I am trying to work out the price per share the EOP buy...

Hi all,

I am trying to work out the price per share the EOP buy back was executed at.

At a simple glance $250k/6m shares involved in the buy back means each share is worth about 4c. But that's a bit low isn't it?

So I did some digging and found out that the employees are suppose to pay back their loan which was used to buy the shares under EOP when the EOP is closed.

Further digging to see if there was mentioning of the employee loans outstanding in the financials was not very fruitful, the best I can find is the table in note 5.6.3 in 2016 FY Financials, under the heading "Accounting Recognition". And based on the figures, there seems to be 6.6m VCRs outstanding, with prices ranging between 1.79 -2.05. This works out to be $12.76m loans made to employees under the EOP.

If my thoughts are accurate, then the (proceed paid for the buy back 250k + loans outstanding $12.76m)/6m shares will give you a share prices of $2.14.

I don't think my calculations are correct, as $2.14 is too high, but having 4c per share in the buy back is a bit baffling for me, why so low compared to the current share price?

Any financial experts out there who can shed some lights on this?

Regards
Jack