{"id":1656,"date":"2008-01-03T18:45:53","date_gmt":"2008-01-03T22:45:53","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=1656"},"modified":"2008-01-03T18:45:53","modified_gmt":"2008-01-03T22:45:53","slug":"effect-of-bama-special-dividend-on-bnapra-bnaprb-bnaprc","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=1656","title":{"rendered":"Effect of BAM.A Special Dividend on BNA.PR.A BNA.PR.B BNA.PR.C"},"content":{"rendered":"<p>BAM Split Corp <a href=\"http:\/\/www.bamsplit.com\/Press%20Releases\/2008\/Jan3.htm\">has announced<\/a>:<\/p>\n<blockquote>\n<p>that, in anticipation of the special dividend of units of Brookfield Infrastructure Partners L.P. to be paid by Brookfield Asset Management Inc. (\u201cBrookfield\u201d) to the holders of its Class A Limited Voting shares (the \u201cBrookfield Class A Shares\u201d), BAM Split\u2019s board of directors has declared a corresponding special dividend to be paid on its capital shares on the same payment date as for the Brookfield dividend.\u00a0 The special dividend will be paid to BAM Investments Corp. (\u201cBAM Investments\u201d), the only holder of BAM Split\u2019s capital shares.<\/p>\n<p>In addition, BAM Split has agreed that, following the payment of the special dividend, it will acquire from BAM Investments additional Brookfield Class A Shares with the same value as the special dividend.\u00a0 The Brookfield Class A Shares will be acquired in exchange for a new series of non-dividend bearing subordinate preferred shares.\u00a0 The rating for BAM Split\u2019s outstanding preferred shares will not be affected by this transaction.<\/p>\n<p>As a result of these transactions, BAM Split\u2019s investment portfolio will continue to consist entirely of Brookfield Class A Shares.\u00a0 BAM Investments will continue to directly and indirectly own the same number of securities of Brookfield and Brookfield Infrastructure Partners as before the transactions.<\/p>\n<\/blockquote>\n<p>The BAM Split preferreds are regularly referred to on this blog as they have been very volatile &#8211; especially BNA.PR.C, which was <a href=\"http:\/\/www.prefblog.com\/?p=1509\">discussed in detail<\/a> last November.<\/p>\n<p>Brookfield Infrastructure Partners (BIP) is being spun out on the basis of 1 BIP for every 25 BAM.A held; <a href=\"http:\/\/www.brookfield.com\/newsroom\/pressreleases\/r2008\/r2008-01-02.asp\">according to Brookfield<\/a>, the intended dividend on BIP is $1.06 annually, implying that the spin-out represents dividends of about 4.25 cents per BAM.A share. BAM.A <a href=\"http:\/\/www.brookfield.com\/investorcenter\/dividends\/ClassALimited\/resources\/Dividends-LimitedVotingShares.pdf\">currently pays<\/a> USD 0.48 annually, so there should not be a huge effect on BNA&#8217;s income coverage.\n<\/p>\n<p><!--d51c1685ab36e139197eabf4b020eaf4--><\/p>\n","protected":false},"excerpt":{"rendered":"<p>BAM Split Corp has announced: that, in anticipation of the special dividend of units of Brookfield Infrastructure Partners L.P. to be paid by Brookfield Asset Management Inc. (\u201cBrookfield\u201d) to the holders of its Class A &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[],"class_list":["post-1656","post","type-post","status-publish","format-standard","hentry","category-issue-comments"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/1656","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1656"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/1656\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1656"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1656"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1656"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}