NZ Oil & Gas (NZO)

[fish]

Hi Digger,

The way I read it is that the ex date has been brought 3 days forward by nzx from the record date set by the nzo board . It is the record date set by the board that determines when the weighted average calculation commences-ie should still be the weighted average of next weeks trades . I am actually hoping the sp drops further next week !

[RRR]

Good question N2. I couldn't figure out either due to my limited knowledge. It is a huge number of shares resulting in dilution. If the company wants to reward the key workers why dont they give them cash and make it mandatory for them to have some shares to align their interest with shareholders. It is a flawed system and prone to abuse. Some companies are even resorting to fully underwritten DRP's-meaning they dont pay any cash at all and some clever investment banking firms get the shares at a discount underwriting DRPs. Looks like retail investors can't win in the world of big boys!! And NZO are buying back shares!! Does it make sense!!! Experienced investors can explain it better..

[stanace]

Hi Digger,

The way I read it is that the ex date has been brought 3 days forward by nzx from the record date set by the nzo board . It is the record date set by the board that determines when the weighted average calculation commences-ie should still be the weighted average of next weeks trades . I am actually hoping the sp drops further next week !

Does this mean i can sell all my shares tomorrow, and still get the dividend. Sorry to be so dumb, but I thought I would have to wait till next week to sell them and still qualify for the dividend.

[fish]

Does this mean i can sell all my shares tomorrow, and still get the dividend. Sorry to be so dumb, but I thought I would have to wait till next week to sell them and still qualify for the dividend.

They went ex-dividend on wednesday so you could have sold themyesterday and still got the dividend .
Its going to be a very interesting week watching the trading-i suspect we might see the buyback begin so that those of us who have opted for shares in lieu of dividend dont get them too cheaply

[fabs]

Good point Fish
So last Wed. the share price, having gone ex. div. to = $ 1.27
and everything being more or less equal, one should be able to expect the price, after the end of the coming week to average ideally $ 1.27 or under [ VERY GOOD ] the more the s/p is over $ 1.27 [ VERY BAD ] the more it is obvious that the S/H collectively are treated as big Mushrooms, as championed by Balance.

THIS COULD BE THE BIG CREDIBILITY TEST OF CO.s MANAGEMENT.

[KS]

KS ,this new date puts the determination of weighted average price for investers taking up the DRP in some question.Here is what the NZO report says.
"The number of shares will be calculated at a 2.5% discount to the weighted average sale price for shares sold on each of the first five business days immediately following the dividend record date."
Has the dividend record date now changed to start today. I had assumed it would be calculated on the weighted average of all next week. That is from 20th to 24th/
How do you and others see it?

Hi Digger,

I agree with Fish's answer.
The weighted average sale price for shares sold on each of the first five business days immediately following the dividend record date (NOT the EX date) is used, then discounted by 2.5%.
Perhaps in future the EX DIVI date could be used as start date to give a true picture of the share price immediately after dividend. This would also save 3 days in the process.

[blockhead]

Annual Report out today and sp is up 06c, whats in the report we didn't know ? just buying a few shares for the buyback wouldn't bump them up 06c.

Although closer inspection shows no buyers of any consequence after $1.24 so perhaps there was another buyback around close tonight. Mmmnn artificially bumping the price up, will it stay there though ??

[sideline]

Annual Report out today and sp is up 06c, whats in the report we didn't know ? just buying a few shares for the buyback wouldn't bump them up 06c.

Although closer inspection shows no buyers of any consequence after $1.24 so perhaps there was another buyback around close tonight. Mmmnn artificially bumping the price up, will it stay there though ??

Disagree, blocky. SP went up around 2pm on pretty big volume of a few hundred k in a short amount of time.

[blockhead]

What I'm thinking Sideline is the buyer could have been NZO, 2pm and 5pm ?? Makes sure the price is up and also makes sure I don't get too many on the DRP

[fabs]

Easy fix, just ask for more dosh from NZO, they got plenty and do not know what to do with it and are on the look out for money spinners, overlooked by the rest of the market.