NCM (ASX) New mint take over

Originally posted by ConnerEx: ↑

Yea it wasn't clear in a few articles I came across also. The spec div is currently about $1.72AUD, hopefully fully franked. My views about where we stand now are expressed in posts over the last week or so. At this stage I'm taking the spec div, staying on the ASX (although I have a Pershings account in the US) and going long NEM on the basis that analysts overall have NEM undervalued, NEM will control the gold production market globally, have access to instant copper reserves, paying a reasonable quarterly div of over 4% etc.There are cons of course....Our NCM holdings now reflect the deal as it had from the revised offer. The only reason NCM dropped back from $32 odd dollars was the falling NEM price . In hindsight , those that sold at that point maximised the deal. They could conceivably buy back in now and be $7/share better off. If your investment is in an entity under a 30% tax rate then you will benefit a bit more from the imputation credit flowing from the franked div . As far as NCM getting trashed post ex div it doesn't really matter if you hang on and take up the CDIs. The new NEM.ASX price will be quoted as the NEM.US price adjusted for exchange . The final NCM price becomes irrelevant as soon as the NEM.ASX CDIs start trading on the ASX. The bottom line for staying in or selling out is whether you think NEM is a good global company to invest in. I do as my gold portfolio will have one large gold producer paying divs , one Australian based small gold producer/developer looking good and a smaller investment in an Aussie explorer. So I consider my portfolio well balanced in the gold space.

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My intention is to buy and hold as I feel gold has not reached its potential and I don’t hold any gold stocks here or in the US. Hence this could be a good one to pick up for a long term hold.

Most of my shares in Oz and the US are through my company trust and I’ll probably add NEM to my holdings.

Anyway many thanks for giving me all the detailed info. Will certainly help with my decision which will be a buy and hold,

Also any idea when all this will be finalised. I guess NCM will put out their Divi Dustribution announcement and we’ll soon find out whether it is the higher amount.