Replies to post #148488 on Sino Agro Food Inc (fka SIAF)

[MaterialMind]

What you're quoting is concerning SIAF-ME. It does not necessarily mean that OTC is also already trading ex-dividend. RD provided some examples of companies with dual listings that had different ex-dates on the respective markets.

[RealDutch]

Do you even read this message board? Let me highlight it for you.

http://finra.complinet.com/en/display/display_main.html?rbid=2403&element_id=9651

(1) In respect to cash dividends or distributions, or stock dividends, and the issuance or distribution of warrants, which are less than 25% of the value of the subject security, if the definitive information is received sufficiently in advance of the record date, the date designated as the "ex-dividend date" shall be the first business day preceding the record date if the record date falls on a business day, or the second business day preceding the record date if the record date falls on a day designated by the Committee as a non-delivery date.

(2) In respect to cash dividends or distributions, stock dividends and/or splits, and the distribution of warrants, which are 25% or greater of the value of the subject security, the ex-dividend date shall be the first business day following the payable date.

(3) In respect to stock dividends and/or splits relating to American Depository Receipts (ADRs) and foreign securities, the ex-dividend or ex-warrants date shall be designated by the Committee.

[RealDutch]

Jyyoo, did you read my previous post? Any comments?

[ks1977]

did you just say you sold on Merkur and paid 20% more for OTC shares

Yes, but most of my shares were on OTC already so it’s just a small portion of my shares. And a third of the shares I did have on Merkur are stuck in accounts that doesn’t allow OTC-stocks and where I either am unable or unwilling to withdraw cash, hence I still have those shares on Merkur.

Even though IR said the ex-date was Tuesday (Oct 30) and the company announced on Tuesday that the ex-date was Tuesday?

Neither IR nor the company has said squat about the ex date, even though several people have asked them about it… What we do have is a PR from Oslo Børs stating the ex date for SIAF-ME.

If you’ve read the board the past few days you know that I disagreed with RD that there would be to different ex dates between the exchanges, but keep in mind that SIAF doesn’t set the ex dates and RD has offered exemples of different ex dates between Norway and US for the same stock, so it wouldn’t be a first. My theory was that SIAF planned on surpassing the exchanges (no PR on OTC, and the PR on Merkur first after that Oslo Børs halted the stock), but that doesn’t sound to legal…

With regards to the possible different ex date on OTC you disagree with both SEC and FINRA. Since RD has provided quotes and links from FINRA and other sources, I’ll provide you with a quote from SEC. The quote regards the special case for dividends >25% of market cap (www.investor.gov/additional-resources/general-resources/glossary/ex-dividend-dates-when-are-you-entitled-stock-cash);

If the dividend is 25% or more of the stock value, special rules apply to the determination of the ex-dividend date. In these cases, the ex-dividend date will be deferred until one business day after the dividend is paid. In the above example, the ex-dividend date for a stock that’s paying a dividend equal to 25% or more of its value, is October 4, 2017.
Sometimes a company pays a dividend in the form of stock rather than cash. The stock dividend may be additional shares in the company or in a subsidiary being spun off. The procedures for stock dividends may be different from cash dividends. The ex-dividend date is set the first business day after the stock dividend is paid (and is also after the record date).
If you sell your stock before the ex-dividend date, you also are selling away your right to the stock dividend. Your sale includes an obligation to deliver any shares acquired as a result of the dividend to the buyer of your shares, since the seller will receive an I.O.U. or "due bill" from his or her broker for the additional shares. Thus, it is important to remember that the day you can sell your shares without being obligated to deliver the additional shares is not the first business day after the record date, but usually is the first business day after the stock dividend is paid

I’m not going to say that we know there are two different ex dates, but keep in mind that SIAF has been adviced from their lawyers on this one and the ex date (according to US-rules for dividends >25%) will be the day after the Q3-report is due. A pure coincidence or elegant planning?