Friday will be last day for $0.75 dividend
Pan Orient receives shareholder OK for distribution
2012-08-21 18:33 ET - News Release
Mr. Jeff Chisholm reports
PAN ORIENT ENERGY CORP.-
.75 PER SHARE SPECIAL DISTRIBUTION APPROVED
Pan Orient Energy Corp. has received shareholder approval for its previously announced capital reorganization, and the effective date for the reorganization and the record and payment dates for the resulting 75-cent-per-common-share special distribution to shareholders have now been set.
The distribution will be a return of capital as part of a capital reorganization and is expected to be generally more tax advantageous to shareholders than a dividend. Shareholder approval was obtained at a meeting on Aug. 20, 2012, with over 99.9 per cent of votes cast being in favour of the required special resolution. Pan Orient's directors resolved at a meeting today to implement the reorganization, effective Sept. 6, 2012, and set the record date for the resulting 75-cent-per-common-share special distribution to shareholders at Aug. 30, 2012, and the payment date at Sept. 6, 2012. Pan Orient expects that its common shares will commence trading ex distribution on Aug. 28, 2012.
The aggregate amount of the distribution will be approximately $42.5-million, will occur in the course of a reorganization of Pan Orient's business after the recently completed sale of a portion of its Thailand assets and be financed from the net proceeds of that sale. The remaining net proceeds, plus continuing cash flow from concession L53 in Thailand, are expected to be sufficient to finance the needs of Pan Orient's continuing business operations for the rest of 2012 and through 2013.