Viet Nam News - - MARKETS -

buy­ing up as­sets that may never de­liver re­turns.

“Giv­ing $10 bil­lion back shows you they prob­a­bly don’t see op­por­tu­ni­ties to de­ploy a huge amount of cap­i­tal in­ter­nally at the mo­ment,” Butel said.

“The whole in­dus­try’s prob­a­bly learned from the pre­vi­ous boom and would be quite hes­i­tant to go out and do a large ac­qui­si­tion.”

Bid­ding into the off-mar­ket buy­back will open on Novem­ber 19 and close on De­cem­ber 14. In­vestors are al­lowed to ten­der in shares at up to a 14 per cent dis­count to the mar­ket price. div­i­dend.

“Re­turn­ing this $10.4 bil­lion will bring the to­tal cash re­turned to share­hold­ers to $21 bil­lion over the last two years,” BHP Chief Ex­ec­u­tive Of­fi­cer An­drew Macken­zie said.

Aus­tralian in­sti­tu­tional in­vestors were pleas­antly sur­prised the buy­back was for BHP’s Aus­tralial­isted shares rather than its UKlisted shares, said Paul Xi­radis, Chief Ex­ec­u­tive of Aus­bil Dexia, which owns BHP stock.

The in­vestors had thought the buy­back would ap­ply to the UKlisted shares, Xi­radis said, as they typ­i­cally trade at a dis­count be­cause

Newspapers in English

Newspapers from Viet Nam

© PressReader. All rights reserved.