Hi guys Can you elaborate more about this IRD thing and the possible reasons why SKT have it....reading the IRD piece...Am I right to believe that this is a defensive weapon created by the IRD to deter hostile takeovers which seems to has a negative effect on everyone (e.g incl mum and dad investors) not just towards the hostile raider only???....
I can't quite understand the IRD rationale here..it seems destructive to me....as it forces the company into creating a special dividend whether it has surplus cash or not.
There are other defensive strategies to deter a hostile takeover...e.g shareholder rights issue trigger + heaps of others.
From my confused understanding of this IRD piece it seems SKT is more worried about the dumping scenario and not the possible takeover scenario..............or both?............Have I got the correct understanding of the IRD law????.
So why did the shareprice go up??..SKT is giving away part of its assets?...What happens in the future?...do they have to build the ICs up again and with the possibly the next dividend is not or only partially ICed??
Does that apply to STU now...has STU lost its IC with its major shareholder exiting:confused: