GWA SHAREHOLDERS TO TAP INTO $88.3M

Written on the 23 April 2015

GWA SHAREHOLDERS TO TAP INTO $88.3M

GWA Group Limited (ASX:GWA) will return $88.3 million to shareholders after finalising the sale of its businesses, Dux and Brivis.

The building fixtures supplier will pay a return of capital of 22.8 cents per share worth $69.9 million, on top of a partly franked special dividend of six cents per share at $18.4 million.

The capital return is subject to shareholder approval, with a general meeting to be held on May 29.

Shareholders will also vote on GWA's proposal to implement a share consolidation based on the capital return price.

The share consolidation has a conversion ratio of one GWA ordinary share into 0.91, or 100 shares will be consolidated into 91 shares.

The company says the combination of the capital return and the share consolidation aims to provide an earnings per share outcome similar to a share buy-back that is equal to all shareholders.

The share consolidation is expected to "neutralise any expected share price reduction" as a result of the capital return.

If the proposal goes ahead, GWA's ordinary shares on issue will be reduced from about 307 million shares down to 279 million shares.

It follows GWA's announcement to divest Gliderol Garage Doors last week.

The capital return and special dividend will be paid on June 15 if approved by shareholders.


Latest News

HOW INGRID BONNOR TURNED A LABOUR OF LOVE INTO A WORLDWIDE FASHION ICON

BEFORE Ingrid Bonnor started her bridal robe and feminine sleepwear company Homebodii in 2011, she didn't have an...

G8 EDUCATION EXECUTIVE CHRIS SCOTT RETIRES AS COMPANY CUTS CHINESE TIES

LONG-TIME managing director and executive of G8 Education (ASX: GEM) Chris Scott has announced his retirement, on ...

REGIONAL BANKS HIT OUT AT RATING CUT AND WARN BIG FOUR WILL BENEFIT

REGIONAL banks have hit out at a downgrade on their credit ratings, warning that it will increase their wholesale fun...

$71 MILLION SALE OF 'SYDNEY SIX' GIVES RISE TO WESTERN SYDNEY INVESTMENT HOTSPOT

SIX INDUSTRIAL assets in Sydney's West, dubbed the 'Sydney Six', have sold for a collective $71 million, ...

Related News

REGIONAL BANKS HIT OUT AT RATING CUT AND WARN BIG FOUR WILL BENEFIT

REGIONAL banks have hit out at a downgrade on their credit ratings, warning that it will increase their wholesale fun...

THE COMPANY THAT DECIDED IT WAS GOING TO GIVE A CRAP THANKS TO CROWD FUNDING

SIMON Griffiths is using toilet paper to save the world.

In 2012, on the back of an IndieGoGo crowdfunding campaig...

SURFSTITCH DOWNGRADES EARNINGS AS SHARES PLUNGE 25 PER CENT IN A DAY

TROUBLED online sports clothing retailer SurfStitch is considering selling off more of its assets and will close i...

AUSCANN RESUMES TRADE AFTER $12 MILLION CAPITAL RAISING

IT'S BEEN a big few days for medical cannabis manufacturer AusCann (ASX: AC8), as the company emerged from a trad...

BOOK YOUR FUNCTION SPACE HERE

 

 

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter