RE:RE:RE:RE:RE:Corrib Gas volumes equal $7.2 Mil a day $2.62B year unhedged For those who may be familiar with International petroleum corp (IPC) ..They recently undertook a Substantial issuer bid (SIB) for USD 100 million of common shares. The SIB is an alternative form of NCIB in that shareholders have the right to tender any portion they wish of their holdings in return for a deemed dividend equal to the share price they have tendered. The tendering is a form of Dutch Auction whereby the lowest tenders are accepted preferentially.
The advantage for all shareholders is that the float is reduced. For those successfuly tendering, there overall holdings will be reduced but the value of the remaining holdings will most likely increase proportionally to the overall percentage of shares being cancelled
Take the example of a 5% SIB , a holder can tender 5% of his holdings which will yield a deemed dividend, meanwhile the balance of his holding will grow by 5%
The process is a bit cumbersome , and should probably be done but once a year. Yet it is something that both those who want dividends and those who want growth can be happy with !!
For details go here
https://stockhouse.com/news/press-releases/2022/05/12/international-petroleum-corporation-announces-terms-of-substantial-issuer-bid