In Specie Distribution?

Crunched · 6 January 2010

Hi all, I am new this forum and new to the share market but have been doing my research and will soon take the plunge...

I've just been reading about Trafford Resources Limited (TRF) and their "In Specie Distribution" offer for shareholders.

The announcement details 1 ROL share for every 20 TRF shares held with a participation cut off of 26th Jan (I can't link to the announcement due to my post count, but it was made on 22 December 2009).

So, do I understand this correctly:

If I buy 20 TRF shares before 26th of Jan, I will get 1 ROL share? And if that is correct, how do I do this? Do I just place an order for the TRF shares through my broker and then receive my ROL shares at a later date?

Sorry if this question is a stupid one.. Thanks in advance for the help, I hope you guys go easy on me.

dadzi · 6 January 2010

Crunched said:
Hi all, I am new this forum and new to the share market but have been doing my research and will soon take the plunge...

I've just been reading about Trafford Resources Limited (TRF) and their "In Specie Distribution" offer for shareholders.

The announcement details 1 ROL share for every 20 TRF shares held with a participation cut off of 26th Jan (I can't link to the announcement due to my post count, but it was made on 22 December 2009).

So, do I understand this correctly:

If I buy 20 TRF shares before 26th of Jan, I will get 1 ROL share? And if that is correct, how do I do this? Do I just place an order for the TRF shares through my broker and then receive my ROL shares at a later date?

Sorry if this question is a stupid one.. Thanks in advance for the help, I hope you guys go easy on me.

Hey mate,

'Crunched' hehe, great name - just hope you don't get 'crunched' by the market! Anyways, to the best of my knowledge, you're spot on. As long as you buy TRF shares before the 26th you will be entitled to the ROL distribution. That makes the 26th the "Ex" date, basically meaning that shares trading after that date are excluded from the entitlement. I'm also no expert, and this is the first "in-specie" distribution I've ever taken part in, but I'm pretty sure that's right.

Disclaimer: Don't sue me if I'm wrong, DYOR, Cheers

Crunched · 6 January 2010

Cheers dadzi, I was hoping I had it right. I'll keep on eye on TRF..

condog · 7 January 2010

See TRF for more info and asx announcment

Its quiet detaied....

Crunched · 7 January 2010

The announcement is where I found the info mate. Being new to all this I was trying to clarify what I read and understood.

Cheers for the advice. /sarcasm

In Specie Distribution?

Crunched

dadzi

Crunched

condog

Crunched

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