TPG had net debt worth $1.266 billion balance at July 31 2018 and has a handful of funding commitments including spectrum payments ($352 million), capital expenditure in its mobile business and capitalising its Singapore unit ahead of the merger. Then there is also forecasting when the merger completes, and the impact of operating cashflow in the meantime.
All things considered, Citi reckons TPG should have $418 million left over come merger date which would mean a 45¢ a share special dividend.UBS analysts have gone with a range approach saying the payment could be worth $266 million to $356 million, or 29¢ to 38¢ a share. The biggest variables in UBS's model are how much TPG spends on its Australian and Singaporean mobile network, and capitalisation requirements for the Singapore spin-off.Citi and UBS ran the numbers following TPG's annual results announcement on Tuesday."
Really - Well done all holders
TPM Price at posting:
$8.06 Sentiment: Hold Disclosure: Held
