Spheria Emerging Companies Limited (ASX:SEC) Updates Shareholders on Conditional Proposal Outcome
Conditional Proposal Outcome
The Board of Spheria Emerging Companies Limited (ASX:SEC) has communicated the results of its Conditional Proposal, initially announced on 16 January 2024. During the Measurement Period from 1 October 2024 to 31 December 2024, the average daily Net Tangible Assets (NTA) discount of SEC’s share price was measured at 4.75%. Since this discount did not exceed the 5.00% threshold, the proposal to facilitate the exchange of SEC shares for units in the Spheria Australian Smaller Companies Fund will not proceed. Shareholders will continue to hold shares in SEC, maintaining the advantages of being a listed investment company, specifically regular quarterly fully franked dividends.
Strong Investment Performance
The Board expressed satisfaction with the notable improvement in the NTA discount throughout 2024, alongside robust investment performance. For the year ending 30 November 2024, SEC achieved a performance of 22.6%, outperforming its benchmark, the S&P/ASX Small Ordinaries Accumulation Index, which recorded 19.9%, resulting in an outperformance of 2.7%. The Board will regularly evaluate further actions considering how SEC’s share price compares against the NTA, reflecting on the effectiveness of the Conditional Proposal.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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