well the answer is 3,560,852
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well the answer is 3,560,852
As NZO have held the view that their shares have been substantially undervalued, it may have been better for NZO shareholders if the DRP was suspended in September 2011 in order to avoid the dilution of shareholder value that results from issuing shares at a price of 67.314 cents. As I recall, in the webcast on the 24th August 2011, Jason Familton of First NZ Capital raised the point about the further dilution of value that could arise in the context of the DRP and the 2 cents dividend declared at that time. That said, it is the average cost paid by NZO to acquire the 3,560,852 shares issued as a consequence of the DRP that ultimately determines the net cost to shareholders of issuing shareholders under the DRP. At yesterdays close of 73 cents, the net cost (excluding brokerage) to shareholders of acquiring the "DRP shares" would be $202,470 (3,560,852 x 5.686 cents (73 cents - 67.314 cents)). However, the actual cost to shareholders will be determined by the actual cost of the shares purchased on or after the 7th November 2011.
I support the capital management initiated by NZO, and further support confirmation of the payment of an interim dividend upon the release of December 2011 quarterly activities report in late January 2012, or upon the release of the 6 monthly result in February 2012, or even earlier if the sale of Pike River Coal is confirmed before the end of January 2012, and the recovery of both the secured and unsecured debt is achieved.
I support the capital management initiated by NZO, and further support confirmation of the payment of an interim dividend upon the release of December 2011 quarterly activities report in late January 2012, or upon the release of the 6 monthly result in February 2012, or even earlier if the sale of Pike River Coal is confirmed before the end of January 2012, and the recovery of both the secured and unsecured debt is achieved.[/QUOTE-peter findlay]
Kupe alone is generating approx 2 cents a share per month . A reasonable dividend to reflect this should be made-e.g a 5 cent interim dividend to be made in march .This would go a long way towards reassuring investors that an investment in nzo will result in adequate returns .
NZO already has sufficient cash reserves plus likely loans to be repaid from the sale of prc .
""So who trusts NZOG's directors and management to put shareholders' interests first? ""
ditto the current sp.
I thought NZOG's directors and management were shareholders !