Powered by MOMENTUM MEDIA
subscribe to our newsletter sign up
Woolworths conducts off-market buy-back
LIVE
Live: Royal Commission into the Management of Police Informants public hearings:

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

Woolworths conducts off-market buy-back

sarah dulhunty woolworths off market buy back sale of petrol business

Following the recently completed sale of its petrol business, Woolworths Group Limited has been advised on an off-market share buy-back.

Firm: Ashurst (Woolworths)

Deal: Ashurst has advised Woolworths Group Limited on an off-market share buy-back valued at $1.7 billion.

Value: $1.7 billion

Advertisement
Advertisement

Area: Corporate

Key players: Ashurst’s team was led by partner Sarah Dulhunty with senior associate Simon Vose and associate Diana Oh.

Fellow partner Stuart Rubin advised on US securities law aspects.

Deal significance: According to Ashurst, sound capital management is a key priority for the Woolworths Group Board.

Following the recently completed sale of its petrol business, the Woolworths Group has decided to return up to $1.7 billion to shareholders by way of an off-market share buy-back, a statement explained.

The board had considered various alternatives for returning capital to shareholders, and determined the buy-back as the most efficient and value-enhancing strategy to distribute surplus capital and franking credits.

Ashurst noted that the buy-back will enable shareholders to offer to sell their shares to Woolworths Group at a discount between 10 per cent and 14 per cent (at one per cent intervals) to the market price or at the buy-back price determined as the lowest price at which Woolworths Group can buy-back the targeted amount of capital.

The offer period will run from 16 April to 24 May 2019.

On 27 May 2019, the buy-back price and any scale back will be announced, and contracts entered into, with proceeds to be paid out on 30 May 2019, Ashurst outlined.

FROM THE WEB
Recommended by Spike Native Network