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Ex dividend (Excludes any due dividend, a share price that means you will not receive the dividend on this share)
Ex dividend date ( the date at witch the share will exclude due dividend from ). Can be a date set in the future or in the case of a special dividend a date set by the B.O.D. and backdated.
This is a special dividend one off due to U.S. sales. Do not expect 30p per share every year.
I am not sure if the same rules apply as do to normal dividends. I do not think they do.
First group seem to want to start paying an annual dividend again ( seems they now want to run a company that makes a profit ).
The highs and lows of this share may soon be stretched even further, I think 30p dividend is right ,it may end up being higher but paying more has got to be detrimental to other areas of the share out. In my opinion, one thing for sure within the next 12 to 18 months things will settle down I would like to think that pre covid value will return and that the company will be in a much better state. The company will have to adapt forced or by choice
Hopefully someone will educate me if I am wrong regarding the terms of a special dividend although ignorance or even arrogance is not welcome.
Stay nice this is one of the better sites at the moment lets keep it that way ( I f you think your post is awful do not post it).
In my opinion " DO NOT SELL" get the dividend then watch this value very carefully. Good luck
Legally a special dividend is exactly the same as any other dividend. Same rules apply to ex dividend dates etc.
Will shares bought now be treated in the same way or is it only those that you held at time of sale that count?
Shares bought now are treated exactly the same as shares bought at any time. Pari passu is the fancy Latin term. I think there is a lot of confusion here. Whilst the company has said that it intends to return money to shareholders, it has not yet set out how or the specifics of when this will be. When they do, if this payment will be via a dividend (whether they call it special, final etc. makes no difference) they must announce an ex dividend day. If you hold at the close of play on this day you will be entitled to the dividend even if you sell before it’s paid, if you buy after this date you are not entitled to any payment.
Well I will be adding at these levels
"The Board of FirstGroup plc has announced proposals of a reorganisation of the Company's share capital. Subject to shareholder approval at a General Meeting to be held on 27 May 2021, the Company intends to return approximately £365 million to shareholders via a Return of Capital, the equivalent of 30p per share. The date for payment is yet to be announced."
Wow that's brilliant. 30p a share... I definitely need to add more ££££.
Excellent find!
On 23 April 2021, the Group announced the proposed sale of First Student and First Transit. In that announcement, the Group stated that £345m in cash would be retained for the discharge of certain liabilities, including for the rail termination sums in respect of SWR and TPE. At the time of the announcement the Group made an assumption as to the TPE termination fee based on the best knowledge then available and the status of discussions with the DfT. The final agreement now reached with the DfT is c.£50m better than that assumption. The Board has committed to keep the balance sheet position of the Group under review, and in addition to the proposed return of value to shareholders described in the sale announcement and the shareholder circular published yesterday, the Board will consider the potential for making further additional distributions to shareholders in due course.
Possibly more cash coming back to SH as well as Special Div?
The release of the provision from the balance sheet to the profit and lose account is a non cash transaction. Helps the P&L but no cash to pay a extra dividend, but we live in hope it they have strong cash flow! We will see if Coast Capital can garner more support from the other institutional investors to increase pay outs, a lot depends on their view of the medium term macro economic factors that may impact FGP e.g. Climate change impacts, government transport policies and future demand, there are many others as well! The longer term S P will be determined by achieving their bus and rail profitability targets, plus the dividend level, so currently a lot of unknowns currently. In the interim looking forward to getting the dividend which will hopefully be 30p.