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Auckland Airport shareholders vote for $454m capital return

 Shareholders of Auckland International Airport [NZX: AIA], the nation's busiest gateway, have overwhelmingly voted in favour of plans by the nation's busiest gateway to return $454 million in capital via a share cancellation, with 60 percent of the payment treated as a taxable dividend.

Results from the special meeting in Auckland today show 99.3 percent of eligible votes cast were in favour of the plan. The airport company will now seek High Court approval for the capital return, it said.

Under the proposed scheme of arrangement, the company will cancel one in 10 shares at $3.43 apiece. The airport said 40 percent of the payment will be a capital return for tax purposes and the balance treated as a dividend, fully imputed at 28 percent tax rate.

Shares of Auckland Airport fell 0.6 percent to $3.64, and have climbed 28 percent in the past 12 months.

(BusinessDesk)

 

Comments and questions
2

The Auckland Council should sell its 22% shareholdings and use this money to improve Auckland's Cash Flow, instead of just taxing on most Auckland poor ratepayers..

So for small AIA shareholders, it's the lowball offer you can't refuse. I thought NZX was suppose to have rules about lowball offers?