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Capitalization issue as option against cash dividend

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CHATTYCHAT
Super Contributor
Will this have a diluting effect on the share value? The conversion is at R75,84 per share, rather attractive, but this will lead to more shares in circulation... decline in the share price?
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1 REPLY 1
geordie1
Super Contributor
Your logic is correct-if you like this share for long term then script is attractive.If you see a futher drop in price take the cash.Cash is guaranted return whereas script is a bet into the future.
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