TC Energy Corp T.TRP

TRP.W DIVIDEND

[Sukhi19]

If they are paying .69 Dividend for SOBO.

This means, they will pay only (.96-.69) .26 for TRP.W.

Puzzling!

[cavinsin]

No, should be 26 X 5 according to that matt for each 1000 shares of TRP you are receiving 200 of SOBO Why doesn't management step forward and explains, I Emailed them regarding this two weeks ago, I guess they are busy calculating how many share options they getting, for free

[youknowwhat]

Remember both companies will declare dividends on November 7.  The expected dividend for South Bow is $0.69, it must be approved by the  BOD. IF you own 2000 shares you currently receive $7680.00 annually in dividends.  ON  October 1 the holder of 2000 shares of TRP will receive 400 shares of SBOW. If SBOW pays $0.69 quarterly for a total of $2,76 annually a SBOW

[ABP123]

Currently TRP pays .96 per quarter or 3.84 per year.  If you get .2 of a SOBO share wouldn't the ratio work out to .768 per share per year?  

[youknowwhat]

They have stated you would make the same dollar amount when combining the 2 companies dividend payment. Thus I own 2000 shares and will receive 400 shares of SBOW. If SBOW pays 69 cents per quarter as they state on their web site which is $2.76 yearly then TRP would have to pay $3.28 yearly. The 2 dividends combined yearly equal what I currently receive from TRP. Caution is both boards

[ABP123]

I got it.  Thanks for the deeper explanation.

[nedstar71]

I'm not gonna lie I'm.still confused as hell as to the deal here.  With SOBO trading as of this morning TRP should be trading 'ex-spinout' for lack of a better term no?  Yet the price went up.  

[stockstarker]

Think of it this way tc(trp) = trp.w + sobo, they are three separate entities. When the roll over happens each owner of trp will receive 1 share of  trp.w and.0.2 shares of sobo.

[nedstar71]

If the rollover/spin out hasn't happened, how are SOBO shares already trading?

[youknowwhat]

Nedstar The trading has me totally baffled.  I am not baffled about the 86 to 14 split or the accounting since I have an accounting background.  TC ENERGY has said that both companies will declare dividends on November 6 or 7. My bet when they are times by 4 they will equal $3.84. This is going to be interesting to see how the trading lands and what the cost basis for SBOW

[nedstar71]

Thanks.  Yeah I have yet to see anyone explain it in a way that makes sense.  I thought I had I loose grasp on what was going on until I saw SOBO shares already trading.  Figured best case scenario I'd still get SOBO shares by selling my TRP today but probably unlikely.  

[nedstar71]

On further reflection I see no reason why I wouldn't get the SOBO shares if I sold on the 25th if that's the record date.  If I knew for sure I'd potentially try to short that number of SOBO shares and cover when I got them.   But as it stands will just wait and see.

[ABP123]

Actually its and 86% - 14% ratio in favor of TC.  So your SOBO number is quite high.  Unless I am missing something.

[cavinsin]

youknowwhat??? good, good,