Dividends | Share Buybacks | Warrants
One of the key ways the Board can add value for shareholders is through proactive capital management strategies. The objective is to increase total shareholder return and maintain the discount/premium to NAV within a reasonable range.
The Board of Marlin have implemented the following capital management strategies:
In August 2010, Marlin announced a new long-term distribution policy. Under the policy Marlin will pay shareholders 2% per quarter of its average NAV.
The payments are made in March, June, September and December.
| June 2022 | 2.13cps |
| March 2022 | 2.49cps |
| December 2021 | 2.54cps |
| September 2021 | 2.52cps |
| June 2021 | 2.37cps |
| March 2021 | 2.21 cps |
| December 2020 | 2.20 cps |
A full history of Marlin dividends is available.
Marlin has a clear advantage over many other listed entities through their Portfolio Investment Entity (PIE) tax status. As a listed PIE, Marlin dividends will be tax-free to New Zealand resident shareholders. Refer to ‘What does PIE mean?’ under the FAQ section of the website for further information.
Imputation credits will be attached to dividends to the fullest extent possible.
Dividends paid by Marlin may include dividends received, interest income, investment gains and/or return of capital.
The DRP offers shareholders an alternative to cash dividends. Shareholders who don't require the regular income can elect to apply all or part of any cash dividends in subscribing for fully paid ordinary shares.
The advantage of enrolling in the plan is that shares issued under the DRP are at a 3% discount to the current market price (being the weighted average selling price on the first five days immediately following the ex-dividend date). Furthermore, shares issued under the DRP do not incur brokerage costs.
The company will from time to time buyback its own shares on market if in the opinion of the Board the Marlin share price does not appropriately reflect the company's underlying NAV.
Buybacks work well in circumstances where excessive discounts to NAV exist, as it adds value for shareholders by purchasing undervalued shares in the company. Marlin will only buy back shares if the discount to the last published net asset value is not less than 8%.
The buyback period runs for 12 months from the date it is announced to the market. We currently have a share buyback policy in place.
Shares purchased under the policy are held as treasury stock and are available to be re-issued under the dividend reinvestment plan or to pay performance fees to the Manager.
On 20 May 2022, Marlin Global warrant holders had the option to convert their warrants into ordinary Marlin Global shares at an exercise price of $1.18 per warrant.
On the exercise date 4,817,168 warrants out of a possible 47,256,870 warrants (10%) were converted into Marlin Global ordinary shares.
The remaining 42,439,702 warrants which were not exercised have now lapsed, and all rights in regards to them have now expired.
The additional funds will be invested in Marlin Global's current investment portfolio of stocks.
Previous warrant issues:
|
Exercise Price |
Exercise Date / Exercise Period |
Total % Exercised |
|
|
MLNWE |
$1.18 |
20 May 2022 |
10% |
|
MLNWD |
$0.86 |
6 November 2020 |
90% |
|
MLNWC |
$0.75 |
12 April 2019 |
79% |
|
MLNWB |
$0.81 |
5 August 2016 |
5% |
|
MLNWA |
$1.00 |
15 December 2009 to 31 October 2010 |
2% |
A warrant is the right, not the obligation, to purchase an ordinary share in Marlin at a fixed price on a fixed date.
