Santova Dividends

[Vince888]

Hi,

I dont understand the Script distribution for Santova. If you take the cash dividends, the Rand value in dividends will be greater than the Script because Santova will only give you

0.01972 for every 100 shares held. Am I reading this correctly?

[Fredthesailor]

thats the number of shares you will get if you times that number by the current value of SNV you come out to close the same value as the cash . there did not seem to be much of a difference when I did a rough calculation.

[Vince888]

I do not agree. It is not nearly the same. Say for example I have 10 000 Santova shares in my portfolio. If I opted for the cash dividend I would get:
10000 x 0.0625 = R625 dividends. R625/1.20 = R 520.83 Net (After dwt).

Second senario if I opted for script. I would receive 0.01972 shares for every 100 shares held. So if I held 10 000 shares. I would receive 0.01972 shares on the value of 100 (10000/100). 
100 x 0.01972 = 1.972 Rounded down would equal 1 share. Weighted share price is 317cps. This means the value of share should I opt for the Shares would be R3.17

[Fredthesailor]

look like you where right then and now they have corrected the sens

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[SimonPB · Accepted solution]

it was an error and they have issued a correction SENS

[prancing_horse]

Owning shares in SNV and being out the country when the dividend offer was made and getting back a day ago, I did my calcs and I think that most shareholders will opt for shares rather than cash. The shares are being issued at zero cost so, capital gains on disposal is only an issue if you're holding a few million shares.