Contact Energy - CEN Chart

[Entrep]

wooooooooooosh

CleanShot 2021-02-15 at 09.53.27.jpg

[bull....]

be interesting what price they get for the cap raise considering you have the cloud of the ETF selling to come. might want a bigger discount?

[ratkin]

be interesting what price they get for the cap raise considering you have the cloud of the ETF selling to come. might want a bigger discount?

I thought it was 7 dollars. With nearly all of it going to institutions, if they want it of course, which they usually do. However seems very close to the current price, especially since in a few days it would probably have been below 7.00

[JohnnyTheHorse]

I really wonder when the underwriters signed on the dotted line for the $7 price. I suspect it was well before Friday. Just saw a note from Sharesies that they have an allocation in the placement. A sure sign that a very wide net is being cast to suck these placement shares up.

[Scrunch]

I thought it was 7 dollars. With nearly all of it going to institutions, if they want it of course, which they usually do. However seems very close to the current price, especially since in a few days it would probably have been below 7.00

There's an old saying re floats - you want in on the one's that are hard to get. Not sure if that also applies to capital raise placements. I just received a generic sharesies email advising of an "opportunity" to take part in the CEN placement at $7.00

[Joshuatree]

• $580m further investment approved to develop a new 152MW geothermal power station
  at Tauhara, near Taupō.
  
• $400m equity raise announced to support a capital investment programme, including the Tauhara Project.
  
• Strategic review of thermal assets under way over the next few months.
  
• Revised dividend policy to distribute ordinary dividends targeting a pay-out ratio of between 80-100% of the average operating free cash flow of the preceding four financial years.

[Joshuatree]

Dividend policy revised
The Board of Contact has updated the company’s dividend policy. Under the new policy, Contact will distribute ordinary dividends targeting a pay-out ratio of between 80 per cent and 100 per cent of the average operating free cash flow6 of the preceding four financial years.7 For the FY21 financial year, the target payment for the full year dividend is 35 cents per share.
Download Document 8.96MB

[777]

Good to see that the next div is to be paid on 30/3/21 instead of an April payment. Saves 6c/$ tax for those over $180k. Just hope the other power companies follow suit.

[Snoopy]

The other factor that was weighing on my mind was that I am still a little underweight in CEN for my liking and my average entry price is well under $5. So really I am well in profit and expect to remain so, no matter how low this dip goes. If CEN was a person, I would be on the sidelines of the swimming pool shouting :

"Dive, dive dive!"

Hmmm, did I just get my wish?

....and slashed the divie big time

Last years dividend payout was 39cps.

Dividend policy revised


The Board of Contact has updated the company’s dividend policy. Under the new policy, Contact will distribute ordinary dividends targeting a pay-out ratio of between 80 per cent and 100 per cent of the average operating free cash flow of the preceding four financial years.For the FY21 financial year, the target payment for the full year dividend is 35 cents per share.

'Dividend Slashed' might be overplaying things Winner. From 39cps to 35cps is more a minor nick, Barely a flesh wound.

Revised dividend policy to distribute ordinary dividends targeting a pay-out ratio of between 80-100% of the average operating free cash flow of the preceding four financial years.

....
Snoops might need to review his dividend model.

On the job. 90% of the free cashflow is straight down the middle of the new policy. So I will start there.

SNOOPY

[sb9]

Good to see that the next div is to be paid on 30/3/21 instead of an April payment. Saves 6c/$ tax for those over $180k. Just hope the other power companies follow suit.

Good spotting and thanks for mentioning it.