GQG Partners (ASX:GQG) Terminates CDI Buyback
Termination of CDI Buyback
GQG Partners Inc. (ASX: GQG) has announced the termination of its proposed on-market buyback of CHESS Depositary Interests (CDIs) due to uncertainties surrounding US tax treatment. The company identified that it may need to withhold up to 30% of the proceeds from shareholders participating in the buyback under US withholding tax requirements.
GQG determined that pursuing the CDI buyback at this time is inappropriate as the uncertainty cannot be resolved before the upcoming year-end blackout period. An amendment to the Appendix 3C has been filed to reflect this decision. However, GQG will continue to assess the situation and may consider a buyback in the future if conditions improve.
Executive Comments
Rajiv Jain, Executive Chair and Chief Investment Officer of GQG, expressed his intention to purchase more CDIs, contingent on various factors including blackout periods and valuation considerations.
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