Keppel Corp shares to trade ex-distribution on Feb 23; SGX says short sellers must deliver shares
Add BT as a preferred source
Jude Chan
SHARES of Keppel Corporation will trade ex-distribution when the market opens on Thursday (Feb 23), meaning those who buy the stock from that date will no longer be entitled to the distribution in specie of 19.1 Sembcorp Marine (Sembmarine) shares per Keppel share held. Investors should note changes to Keppel’s net tangible assets (NTA), while those who have sold Keppel short may need to factor in the Sembmarine shares when required to cover their positions.
In response to queries from The Business Times, the Singapore Exchange (SGX) explained that short sellers who had sold Keppel short before Feb 23 – that is, on a cum-distribution basis – will have to deliver Keppel cum-distribution shares when due. Failing that, they will have to deliver Keppel ex-distribution shares as well as Sembmarine shares.
Should the seller fail to deliver shares to the central depository (CDP), they will be subject to CDP’s failed settlement management.
TRENDING NOW
When every phone becomes a satellite phone, what happens to Asia’s telcos?
Koh Brothers Eco Engineering faces up to S$57.6 million in potential legal liabilities
Too little, too late? Manila’s billion-dollar bid to ignite its sputtering EV industry
DayOne secures S$530 million green loan from DBS, OCBC and UOB for Singapore data centre
