Teck Resources Ord Shs Class A T.TECK.B

ANOTHER,,,,,,,,,,,,,,,,50 Cent SPECIAL Dividend.............

[Red_Deer]

Transaction Use of Proceeds
 

Subject to closing of the transaction and consistent with Teck’s Capital Allocation Framework, Teck intends to allocate proceeds from the sale of the steelmaking coal business as follows:

 

1. Cash Return to Shareholders

 

Repurchase of up to US$2.0 billion (CAD$2.75 billion) of Class B subordinate voting shares.

Distribution of approximately US$182 million (CAD$250 million) through the declaration of an eligible dividend of CAD$0.50, to be declared by Teck’s Board of Directors on both the Class A common and Class B subordinate shares. The supplemental dividend is expected be paid on September 27, 2024, to shareholders of record at the close of business on September 13, 2024. This one-time supplemental dividend is in addition to the regular base quarterly dividend of $0.125 per share, for an expected total eligible dividend payable of $0.625 per share.

Total announced cash return to shareholders from the 100% sale of EVR of US$2.6 billion (CAD$3.5 billion).

[fakmiz]

So Teck sells the Coal business for $9.5 B but allots an abysmal $ 0.50 per share to it's shareholders. I agree with debt reduction and  some share byback. But the special devidend is a Joke. $4/5 per share would be more in line. Shame on the Board. 

[jrj90620]

Depends on whether you need the cash today or hopeful higher stock price later.I wish companies would offer a choice of shares or cash.That way,if you don't need the income and taxes,you could take the stock and sell whenever needed.