TC Energy Corp T.TRP.P.E

Dividend After The Split - FYI

[newcoin]

 

TC Energy shareholders as of the record date of April 16, 2024 will receive, in exchange for each TC Energy share, one new TC Energy share and 0.2 of a South Bow common share. Shareholder dividends, on a pro forma combined basis, are expected to remain whole between TC Energy and South Bow following the spinoff Transaction.

Shareholder dividend expected to remain whole1
Expected dividend split to be:

• ~86% TC Energy 
• ~14% South Bow 

 

1 Dividends are at the discretion of the respective Board of Directors.

TC Energy shareholders as of the record date of April 16, 2024 will receive, in exchange for each TC Energy share, one new TC Energy share and 0.2 of a South Bow common share. Shareholder dividends, on a pro forma combined basis, are expected to remain whole between TC Energy and South Bow following the spinoff Transaction.

Shareholder dividend expected to remain whole1
Expected dividend split to be:

• ~86% TC Energy 
• ~14% South Bow 

 

1 Dividends are at the discretion of the respective Board of Directors.

[newcoin]

What happens if you buy TC Energy after April 16 and before the split?

[autofocus111]

You get the stripped version of TRP ie. no voucher for the spinoff asset. I was wondering why the stock suddenly started diving the last couple of weeks. I did not see any recent press release about the impending spinoff 'ex-date' so this is news to me. I suppose it was announced at the last earnings release?

[SargeX]

I didn;t see anything on the split raito etc either until newcoin's post. I then went to the TRP spinoff website and found it under the FAQ. They didn;t even put a press release out about iit and it doesn't even show up  in the Spinoff News section. I'm not sure why the secrecy?? It is a bit of a cluster IMO/ Here's the link to the FAQs: https://www.tcenergy.com/investors

[RottenRonnie7]

yeah, this does seem very unusual for a) a company of TC stature and b) in light of what they are historically doing with this iniatiative.  i had not seen any of this either, my guess, not tooo many have!  company just tossin this out there under the radar seems very strange.  RR 

[SargeX]

Very interesting. I thought the ratio was going to be 3:1 so I'm quite happy about the higher ratio. I've never liked the split and plan to sell all our SBow shares and use all that dough to buy more shares of the new TRP.. I think there is going ot be lots of SBow selling and the SBow price will take a beating and the TRP price will rise. The higher ratio will ease some of the pain of the

[SargeX]

Not that it will matter to too many people, but something wasn't quite adding up in my calcs so I took another crack at it to try and balance things. My spreadsheet calc are below and it now shows that all will balnce keeping the same total $ value and $ dividend value. I It did make my head hurt a little. I guess we'll see in Q3 whether I got this right or not. I just used a current

[Freedom105]

April 16/24 is the record date for determining who gets to vote at the June 4 meeting.  It's not the date for determining who receives South Bow shares - that's the distribution date, and as per the Management Information Circular, that date will be determined and announced sometime in the Fall.

[autofocus111]

Thanks for the clarification. I stand corrected. It's the Distribution Record Date (TBD) that determines who gets shares of the spinoff. No idea what the sharp selloff this month was all about then. From the April 10 2024 Information Circular... >>>Provided that the foregoing approvals and conditions are satisfied in a timely manner, TC Energy currently expects that the Effective