Introduction

Caltex Australia Limited (CTX) announced the successful completion of its off-market share buy-back of approximately $270 million worth of shares which represents around 3.2% of Caltex's outstanding shares.

The ex-entitlement date was on 26 Feb 2016. The buy-back open period was between 14 Mar 2016 - 8 April 2016 and it was completed on 11 April 2016. Payments were expected to be completed by 15 April 2016.

The buy-back proceeds consist of two components, a franked dividend component and a capital component.

The $27.38 dividend component will be treated as a fully franked dividend and the deemed capital proceeds will be $6.73, being the $2.01 capital component plus $4.72, which is the amount by which the CGT value exceeds the buy-back price. 

Participation in the buy-back was voluntary, i.e. shareholders chose to participate in the buy-back and the amount subject to the buy-back varies from fund to fund, therefore these types of Corporate Action will need to be processed at the Fund level.

Buy-Back Details

The key results of the Caltex buy-back are as follows:

Further Reading

• Caltex 2016 Off-Market Buy-back Booklet
• Caltex key off-market buy-back details
• CR 2016/23: Off-Market Share Buy-Back - Caltex Australia Limited