Pengana Global Private Credit Trust Initiates 5% Buy-Back Scheme
PCX (PCX) Share Update August 2024 Thursday 15th
Pengana Global Private Credit Trust Announces Buy-Back Scheme
Pengana Global Private Credit Trust (ASX: PCX) has announced a new buy-back scheme, offering to buy back up to 5% of its fully paid ordinary units.
Instant Summary:
- Pengana Global Private Credit Trust to buy back up to 5% of its ordinary units.
- Total units on issue: 78,363,551.
- Buy-back offer open date: 30 August 2024.
- Buy-back closing date: 20 September 2024.
- Buy-back payment date: 15 January 2025.
- Foreign participation restricted to Australia and New Zealand.
Buy-Back Details
Pengana Global Private Credit Trust (ASX: PCX) has announced a buy-back scheme, aiming to repurchase up to 5% of its fully paid ordinary units. The total number of units on issue is 78,363,551, and the trust plans to buy back approximately 3,918,178 units if all offers are accepted.
The buy-back will be conducted under an equal access scheme, ensuring that all eligible unitholders have an equal opportunity to participate. The buy-back offer will open on 30 August 2024 and close on 20 September 2024. The anticipated date for the buy-back to occur is 24 September 2024, with the payment date set for 15 January 2025.
Conditions and Restrictions
The buy-back scheme is subject to certain conditions and restrictions. Notably, foreign participation is limited to unitholders residing in Australia and New Zealand. This restriction is based on the approval from the Australian Securities and Investments Commission (ASIC), which deemed it unreasonable to extend the buy-back to foreign unitholders due to the associated costs and regulatory requirements.
If the responsible entity receives acceptances for more units than the 5% target, a scale-back will be applied, reducing each acceptor's units proportionally. Conversely, if acceptances are below the 5% threshold, all accepting units will be bought back.
Key Dates
The key dates for the buy-back scheme are as follows:
- Announcement date: 15 August 2024
- Record date for participation: 23 August 2024
- Ex Date: 22 August 2024
- Buy-back offer open date: 30 August 2024
- Last date to extend the offer close date: 13 September 2024
- Buy-back offer closing date: 20 September 2024
- Anticipated buy-back date: 24 September 2024
- Buy-back payment date: 15 January 2025
The buy-back scheme is likely to have a positive impact on Pengana Global Private Credit Trust's stock price, as buy-backs generally signal confidence from the company's management. The restriction on foreign participation may limit the immediate market reaction, but overall, the move is expected to be viewed favorably by investors.
Investor Reaction:
Analysts are likely to view the buy-back scheme as a positive development, reflecting the trust's strong financial position and commitment to returning value to shareholders. The restriction on foreign participation may raise some concerns, but the overall sentiment is expected to be positive.
Conclusion:
Investors should consider participating in the buy-back scheme, especially those looking to capitalize on Pengana Global Private Credit Trust's strategic move to enhance shareholder value. Monitoring the key dates and understanding the conditions of the buy-back will be crucial for making informed decisions.