Abano Healthcare GroupTuesday 14 December 2010, 10:06AM
Media release from Abano Healthcare Group
Abano Healthcare Group has today confirmed settlement of the sale
of its investment in NHC Group Pty Limited for approximately NZ$28
million.
This means that, subject to High Court approval, the capital
return of $27.3 million to shareholders by way of a compulsory, pro
rata 1 in 4 cancellation of shares, as approved by shareholders at
the annual meeting on 30 November 2010, will proceed.
High Court approval has been sought, and Abano anticipates an
outcome by late December 2010, with a view to the share
cancellation and payment to shareholders taking place by the end of
January 2011.
Chair of Abano, Alison Paterson, commented: "The cash receipts
from the sale of our investment in NHC Group are effectively the
same as the amount proposed to be returned to shareholders.
"The share cancellation represents a tax effective return of
capital to shareholders, and is an efficient use of Abano's balance
sheet. It will also reduce the number of shares on issue and
therefore improve earnings per share going forward."