Not sure if anyone else saw this, but someone posted a nice little off market buyback scenario on Commsec community.
Essentially, the net effect is to double the share price if a buyback is undertaken at 45c per share assuming a 200m payout with 85 million in franking credits.
There has never been a better opportunity to buyback shares at these levels.
Isn't the boards main objective to maximise shareholder value?
MGX Buyback MGX Buyback Share Value benefit
Payment Opening Shares: 1,085,000,000
200million Less:
Buyback: (444,444,444)
Franking (100%) New Share capital: 640,555,556
85.7 million
Per share payment Forecast NPAT (2013): 147,000,000
45.0 cents
EPS: 0.23
Franking
19.3 Cents P/E 5
Total Expected new share price: $1.15
64.3 Cents
the case for a buyback
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Last
43.5¢ |
Change
0.005(1.16%) |
Mkt cap ! $528.4M | |||
| Open | High | Low | Value | Volume |
| 43.0¢ | 44.5¢ | 42.8¢ | $959.2K | 2.205M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 4 | 4985 | 43.5¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 44.0¢ | 192573 | 3 |
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| Last trade - 16.10pm 04/07/2024 (20 minute delay) ? |
| MGX (ASX) Chart |