TAH - Tabcorp Holdings

[skc]

To my knowledge TAH generally goes XD in mid February. However I am not aware of any announcement regarding February 2014.

Any able to provide more info please?

Thanks

Rick

TAH is reporting 6 Feb so you should get the dividend details then.

 

[Muschu]

TAH is reporting 6 Feb so you should get the dividend details then.

Many thanks

 

[piggybank]

I don't know if the spring carnival is helping the price but it appears an overseas horse will take the Melbourne Cup out of the country again

​

 

[Toyota Lexcen]

Interesting one TAH, sold out of it $3.50 a little while ago, concerned with how easy it is for "online" betting to start up and siphone $ away from conventional operators

But since gone up to hit $4 mark

 

[Tyler Durden]

NPAT 334.5m, up 157.5%

Dividend of 10c per share.

Their last announcement was an update to their dividend announcement, which was this:

The Appendix 4E Preliminary Final Report released by the Company on 13 August 2015 stated that a dividend reinvestment plan (DRP) will operate in respect of the final dividend, and that shares allocated to participants under the DRP would be acquired on market. The Company proposes that shares will be issued under the DRP, rather than acquired on market.

Can anyone tell me what this means? Promptly after this announcement the SP received a small little burst.

 

[skc]

NPAT 334.5m, up 157.5%

Dividend of 10c per share.

Their last announcement was an update to their dividend announcement, which was this:

Can anyone tell me what this means? Promptly after this announcement the SP received a small little burst.

When existing holders take up their DRP, they accept shares in lieu of cash dividends. There are 2 ways for the company to satisfy these "new shares".

1. They can issue new new shares to the holder, and as a consequence increase the total share on issue and actually have the cash in the bank rather than paying it out to the holder.

2. They can buy their own existing shares on the market. This way the total shares on issue is unchanged and the cash is more or less paid out to the holder in a round-about way. This is sometimes called DRP neutralisation.

There isn't any absolute positive or negative in each situation. However, when a company needs capital to grow, they should in theory be retiainng the cash and issuing new shares under the DRP (i.e. option 1).

 

[Tyler Durden]

When existing holders take up their DRP, they accept shares in lieu of cash dividends. There are 2 ways for the company to satisfy these "new shares".

1. They can issue new new shares to the holder, and as a consequence increase the total share on issue and actually have the cash in the bank rather than paying it out to the holder.

2. They can buy their own existing shares on the market. This way the total shares on issue is unchanged and the cash is more or less paid out to the holder in a round-about way. This is sometimes called DRP neutralisation.

There isn't any absolute positive or negative in each situation. However, when a company needs capital to grow, they should in theory be retiainng the cash and issuing new shares under the DRP (i.e. option 1).

Ok thanks, but shouldn't the SP go down a bit if they are going to issue new shares because it dilutes the current amount on market?

 

[skc]

Ok thanks, but shouldn't the SP go down a bit if they are going to issue new shares because it dilutes the current amount on market?

1. I don't think the market movement was related to the DRP announcement. It was probably just coincidental timing wise.

2. Dilution is tiny. Dividend each period is something like 2%. If half of the investors take up the DRP, there'd at most be 1% increase in shares on issue. But these new shares are issued at close to the last trade price... so the dilution is very minimal.

 

[Tyler Durden]

1. I don't think the market movement was related to the DRP announcement. It was probably just coincidental timing wise.

2. Dilution is tiny. Dividend each period is something like 2%. If half of the investors take up the DRP, there'd at most be 1% increase in shares on issue. But these new shares are issued at close to the last trade price... so the dilution is very minimal.

Thanks skc. Never thought about that.

 

[peter2]

It's been a long time between posts for this company.
TAH has finally merged with TTS and the financing has been completed. IMO this should have been done 10-15 years ago. Back then, their bookmaking competition were local now they're multinational.

After a losing trade I've started another using the current daily setup. The weekly trend is down so this trade is most definitely a reversal.

 

[Ann]

TAH listed Friday August the 26th 1994 its initial price was $1.11 today it closed at $4.73

 

[greggles]

Gap up today for TAH but can't figure out why. No news so far this month and volume appears to be within normal ranges. Currently up 13% to $4.

Any ideas?

 

[Austwide]

Maybe this

6 November 2020 ASX Market Announcements Australian Securities Exchange 20 Bridge Street Sydney NSW 2000

Response to media article Tabcorp Holdings Limited (the Company or Tabcorp) refers to an article in today’s edition of The Australian titled “Private equity and Matthew Tripp circle Tabcorp in potential break-up deal for wagering giant”. Tabcorp is not aware of, and has not received, any proposal in respect of the Company or its businesses.

This announcement was authorised for release by the Tabcorp Chairman, Paula Dwyer.

 

[greggles]

Maybe this

6 November 2020 ASX Market Announcements Australian Securities Exchange 20 Bridge Street Sydney NSW 2000

Response to media article Tabcorp Holdings Limited (the Company or Tabcorp) refers to an article in today’s edition of The Australian titled “Private equity and Matthew Tripp circle Tabcorp in potential break-up deal for wagering giant”. Tabcorp is not aware of, and has not received, any proposal in respect of the Company or its businesses.

This announcement was authorised for release by the Tabcorp Chairman, Paula Dwyer.

That'll be it. Thanks! The response hadn't been released when I posted. Although it has reminded me to always check the mainstream media when you see strange share price movements of listed companies where there are no announcements to explain it.

 

[Dona Ferentes]

Comments from Sandon Capital SNC - an 'activist' investor

After previously disclosing that it had received a number of unsolicited approaches and proposals in relation to a potential transaction involving its Wagering & Media (W&M) business, Tabcorp Holdings Ltd (TAH) announced that it had “decided to undertake a strategic review to assess and evaluate all structural and ownership options to maximise the value of TAH’s businesses for the benefit of shareholders”.

We have long argued that TAH’s Lotteries and W&M businesses have distinctly different business models that should not be housed under the same corporate umbrella. We are pleased to see new Chairman, Steven Gregg, take steps to potentially streamline and simplify TAH’s corporate structure following what were clearly lowball offers for the company’s W&M business. Importantly, the strategic review does not rule out any options that may be pursued and we were particularly encouraged by Chairman Gregg’s comments in the press that “you just need to make shareholders get the best result”. The delay in appointing a replacement for the departing CEO was also, in our view, a common-sense decision.

After many years of operational and financial underperformance, it seems that the wheel at TAH might be finally starting to turn, with shareholders set to benefit.

 

[divs4ever]

Treatment of Tabcorp Holdings Limited
Demerger within the S&P/ASX 200 Index
SYDNEY, MAY 17, 2022: S&P Dow Jones Indices announced today that it will make the following
changes in the S&P/ASX 200 Index, as a result of the scheme of arrangement under which Tabcorp
Holdings Limited (XASX: TAH) will spin-off The Lottery Corporation Limited (XASX: TLC).
Tabcorp Holdings Limited will spin-off 1 share of The Lottery Corporation Limited for every 1 Tabcorp
Holdings Limited share held. The Lottery Corporation Limited will be added to the S&P/ASX 200 Index
effective prior to the open of trading on May 24, 2022 at a zero price.
There will be no removal from the S&P/ASX 200 Index as a result of the inclusion of The Lottery
Corporation Limited.


=====================================================================

DYOR

i hold TAH ( currently up 102% , for me )

decisions , decisions .. will i try to grab some extra when TLC starts trading OR wait and see if TAH plummets in price

( TAH was originally bought as a 'safe-haven ' to resist the crash i wrongly predicted for 2013 , and bought some TTS later thinking they would merge with TAH , at least i got that one correct )

looks like more work for Joe , though, adding a new stock to the system

 

[Miner]

Treatment of Tabcorp Holdings Limited
Demerger within the S&P/ASX 200 Index
SYDNEY, MAY 17, 2022: S&P Dow Jones Indices announced today that it will make the following
changes in the S&P/ASX 200 Index, as a result of the scheme of arrangement under which Tabcorp
Holdings Limited (XASX: TAH) will spin-off The Lottery Corporation Limited (XASX: TLC).
Tabcorp Holdings Limited will spin-off 1 share of The Lottery Corporation Limited for every 1 Tabcorp
Holdings Limited share held. The Lottery Corporation Limited will be added to the S&P/ASX 200 Index
effective prior to the open of trading on May 24, 2022 at a zero price.
There will be no removal from the S&P/ASX 200 Index as a result of the inclusion of The Lottery
Corporation Limited.


=====================================================================

DYOR

i hold TAH ( currently up 102% , for me )

decisions , decisions .. will i try to grab some extra when TLC starts trading OR wait and see if TAH plummets in price

( TAH was originally bought as a 'safe-haven ' to resist the crash i wrongly predicted for 2013 , and bought some TTS later thinking they would merge with TAH , at least i got that one correct )

looks like more work for Joe , though, adding a new stock to the system

Do you still hold TAH ?
Today price crash was interesting though on face value the real effect of the reduction far lower than 80% drop once the demerger and share issue to current holders is considered.
@divs4ever - what is your analysis please? DNH.

 

[divs4ever]

yes i still hold and was trying ( unsuccessfully ) to increase the holding

well clearly my analysis is incorrect if the current sell-off has any basis

i was thinking a price of $2.50 was possible after the split ( not ridiculously high )

now sure racing/sport activity has been massively impacted over the last two years , but i was expecting that to recover in the mid-term ( too many very rich and influential people involved in the racing industry as owners/part-owners , and to a less extent in the other 'sports' bet on

after yesterday the market implies TLC is about 75% of the original company profit , and while less impacted by the virus response was still impacted ( less folks sitting in bars playing keno )

what we don't seem to know is what are the underlying costs for keno , surely they will be sharing some on the revenue/turnover to the hotels ( as would TAH for the betting facilities there ) ... surely TLC doesn't get a free-ride rent-wise , the lottery business should be less of a tangle

does the market factor in one or more lock-down sagas ( and if so why the high valuation of TLC , which one would still expect to be impacted , but to a lesser extent than TLC )

does the market think sports-betting is dying ?? ( less football , boxing, horse-racing while greyhound racing has already been crushed )

i might have to rethink the whole 'entertainment industry ' because that is what the TAH sell-down is implying ( massively reduced public-gatherings in the future )

 

[Country Lad]

The sum of the parts was 4.6% higher than the whole at opening on the day of the demerger.
At today's close, the sum of the parts is 6.3% higher than the the whole before demerger.
TAH is down and TLC is up. Could be the market has lost interest in TAH now that the most valuable part of the business is gone. TAH is a company I avoided and even more so now.

This is what the new TAH looks like after the demerger.

 

[Knobby22]

yes i still hold and was trying ( unsuccessfully ) to increase the holding

well clearly my analysis is incorrect if the current sell-off has any basis

i was thinking a price of $2.50 was possible after the split ( not ridiculously high )

now sure racing/sport activity has been massively impacted over the last two years , but i was expecting that to recover in the mid-term ( too many very rich and influential people involved in the racing industry as owners/part-owners , and to a less extent in the other 'sports' bet on

after yesterday the market implies TLC is about 75% of the original company profit , and while less impacted by the virus response was still impacted ( less folks sitting in bars playing keno )

what we don't seem to know is what are the underlying costs for keno , surely they will be sharing some on the revenue/turnover to the hotels ( as would TAH for the betting facilities there ) ... surely TLC doesn't get a free-ride rent-wise , the lottery business should be less of a tangle

does the market factor in one or more lock-down sagas ( and if so why the high valuation of TLC , which one would still expect to be impacted , but to a lesser extent than TLC )

does the market think sports-betting is dying ?? ( less football , boxing, horse-racing while greyhound racing has already been crushed )

i might have to rethink the whole 'entertainment industry ' because that is what the TAH sell-down is implying ( massively reduced public-gatherings in the future )

It just represents the huge competition from overseas owned wagering companies who are continually stealing market share.