Ava Risk Group Limited (ASX: AVA) (“Ava Risk Group” or “the Company”) todays provides the following update on the previously proposed Return of Capital and the payment of a dividend.
On 16 August 2021, the Company announced its intent to distribute excess cash of $39.2 million to shareholders. The Company proposed that the funds were returned to shareholders as a capital return subject to shareholder approval and the receipt of a favourable class ruling from the Australian Tax Office (“ATO”). The ATO has recently responded to our class ruling application and has indicated that it would be willing to treat $7.567 million of the proposed $39.2 million as capital in nature.
The Board considered a number of options to return excess funds to shareholders and after careful consideration has decided to make two distributions as follows:
- Special Dividend of $0.13 per share (distribution of approximately $31.585 million)
- Capital Return of $0.03114 per share (distribution of approximately $7.567 million)
Ava Group Special Dividend
The Company is pleased to announce a Special Dividend. Shareholders at the Record Date of 28 February 2022 will receive an unfranked dividend of $0.13 per share, paid on 10 March 2022.
The Company will seek shareholder approval to reduce the ordinary share capital of the Company by approximately $7,567,000 and such reduction in capital to be effected by the Company paying to each registered holder of a fully paid ordinary share the amount of $0.03114 per share. Shareholder approval will be sought at an Extraordinary General Meeting on 22 April 2022. Further details relating to Capital Return, Record Date and timetable will be provided within a Notice of Meeting which will be issued to shareholders in the near future.
Approved for release by the Board of Directors.
For further information, please contact:
Vanessa Beresford Citadel-MAGNUS
email@example.com +61 451 422 892
Alexandra Abeyratne Citadel-MAGNUS
firstname.lastname@example.org +61 438 380 057
About Ava Risk Group
Ava Risk Group is a global leader in providing technologies and services to protect critical and high value assets and infrastructure. It operates two business segments – Future Fibre Technology (FFT) and BQT Solutions (BQT). FFT manufactures and markets ‘smart’ fibre optic sensing systems for security and condition monitoring for a range of applications including perimeters, pipelines, conveyors, power cables and data networks. BQT is a specialist in the development, manufacture and supply of high security biometric readers, security access control and electronic locking products. Ava Risk Group products and services are trusted by some of the most security conscious commercial, industrial, military and government clients in the world. www.avariskgroup.com