RE:RE:Light on Sharebacks in February? caretired1 - (3/3/2024 10:54:49 AM) RE:Light on Sharebacks in February?
My guess is they think fair value is $35 or so - about 15% from current stock price that is better return than saving the interest on the debt and they have committed 50% of fcf to shareholders so debt is not part of that equation. Debt repayment comes out of the other 50% of fcf. Their debate is share buybacks or more dividends(ie special) They said they are not ready for a regular dividend until they get to 100% of fcf for shareholders, I think.
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- THAT IS CORRECT
- NO DIVIDENDS until the NET DEBT REACHES USD 600 million
- they will POLL their SHAREHOLDERS and ASK for their PREFERENCES
- IF he {Ninepoint Energy Fund} is STILL a SHAREHOLDER of MEG Energy at THAT POINT, Eric Nuttall will WANT DIVIDENDS
- it will be a BASE DIVIDEND and CONSIDERED PART of FIXED COST STRUCTURE
- it will have to TEST the ENERGY DOWN CYCLE in ORDER for the BODs to APPROVE IT
- so DON'T 'EXPECT' LARGE BASE DIVIDENDS
- MyTAKE:
* ANYWHERE from $ 0.10 to $ 0.14 BASE DIVIDEND PER QUARTER
z173