From a company that paid a special dividend of $1.00 in 2014 to...

From a company that paid a special dividend of $1.00 in 2014 to a company that has the current dividend fully underwritten to preserve cash.

??? any comments?

I am quite surprised. This sort of design would normally raise eyebrows - me thinks. One may wonder what the pressing need would be to preserve $33mio. In effect, ARB pays dividend out of the issue of new shares (i.e. the ones sold to Taylor Colison).

There are a number of thoughts:

1) Take the cash dividend and your share is diluted
2) ARB issuing new shares at historic high levels
3) Take up the DRP and acquire the shares at historic high levels, and you remain undiluted
4) very smart capital management on behalf of ARB, fantastic timing
5) What are the $33mio needed for? - It cannot be needed for keeping ARB ticking over in lean times. I can only venture that it is expansion, or acquisition

DYOR

Until I understand this better, my sentiment is none.