Rio Tinto (RIO) announced the successful completion of its off-market share buy-back of up to approximately $750 million of capital from shareholders or 11,778,064 shares, representing 2.78% of the issued capital of RIO.
The ex-entitlement date was 27 September 2017 and the buy-back completion date was 13 November 2017.
The buy-back price received by participating shareholders comprised of two components:
- a dividend component
- a capital component
Participating shareholders are taken to have been paid a fully franked dividend of $54.23 (dividend component) for each Rio share disposed of as part of the buy-back. The deemed capital proceeds were $16.79 per share, being the $9.44 capital component, plus $7.35, which is the amount by which the tax value for CGT purpose exceeds the buy-back price.
An SMSF shareholder tendered 1,001 Rio shares to participate in the buy-back. All the shares were bought prior to the ex-entitlement date.
Navigate to Fund Level > Investments > Browse Corporate Actions
- Click Action for this corporate action
- Enter the Participating Quantity
Class defaults the Payment Date to be the implementation/CGT (effective) date. However, you may update the payment date to match against the client's buyback statement, i.e. 20 Nov 2017.
- Review the information and Submit the event.
The populated amount should match the client's statement.
Refer to the below sample Rio buy-back payment and dividend statement.