A quick point for holders to consider.... Over here (Kiwiland),...

A quick point for holders to consider....

Over here (Kiwiland), there was a recent takeover of a burgeoning NZ company (who were doing very well!). Because the  "acquiring" company was registered in an obscure location in the world, their rules allowed for the takeover to be effected once they had only 51% of the shares. Thankfully, it's 90% in Ozzie.

If that isn't enough, the net proceeds of the takeover were paid out to the "unwilling" shareholders as a Capital Dividend! Of course, this means the shareholders then had to pay "Dividend Withholding Tax" - which meant some shareholders only received up to ~67% of their holding. Who in their right mind would donate 33% in tax if they didn't have to?

I find it outrageous that the powers that be (within the company) agreed to such a payment. What an ugly way to reward their long standing loyal shareholders.

Seems like we need to keep this point in the back of our minds.....