SPP question

[omac]

had a search and couldn't find anything.

regarding a SPP can you sell your holding after the record/eligibility date and then buy back your original holding amount + any extra shares via the SPP and still be eligible for the shares at the SPP price? curious as the current market price is above the spp by a reasonable % and have all my paperwork etc, well within record date.

eg sell eligible 5000@$2 = 10000
participate in SPP at 1.5 with original 10K (now 6666 shares) + any extra money

thanks

edit: the SPP in question allows eligible holders to invest a max of 15k regardless of holding size.

 

[burglar]

had a search and couldn't find anything. ...

Your shares are yours to sell. As for the SPP, each is different and you need to read the documents carefully.

Biggest danger is, they become heavily oversubscribed and send your cheque back!

 

[So_Cynical]

had a search and couldn't find anything.

regarding a SPP can you sell your holding after the record/eligibility date and then buy back your original holding amount + any extra shares via the SPP and still be eligible for the shares at the SPP price? curious as the current market price is above the spp by a reasonable % and have all my paperwork etc, well within record date.

eg sell eligible 5000@$2 = 10000
participate in SPP at 1.5 with original 10K (now 6666 shares) + any extra money

thanks

edit: the SPP in question allows eligible holders to invest a max of 15k regardless of holding size.

The ATO mite consider this a wash sale if your going to take a loss on the shares you hold now.

http://www.theaustralian.com.au/bus...-with-tax-office/story-fn85l14t-1226117668494

 

[skc]

The ATO mite consider this a wash sale if your going to take a loss on the shares you hold now.

http://www.theaustralian.com.au/bus...-with-tax-office/story-fn85l14t-1226117668494

That is not a wash sale imo. You are not doing it for tax. You are doing it so you can free up cash and buy shares at a cheaper price.

Then again I am no tax accountant...