Tabcorp to unwind swap and receive $554 million

Company News

by Jessica Amir

Betting giant Tabcorp (ASX:TAH) has announced it has unwound a cash-settled equity swap, and will receive about $554 million in gross proceeds.

The unwinding was for 117 million Tabcorp shares, equating to about 5.8 per cent of its shares on issue, at a price of $4.72.

And as a result of the combination of Tatts, Tabcorp already received $62 million, while it will now receive a further $554 million with the proceedings being put towards its borrowings.

The company says it unwound the vehicle as it served its purpose, to pay down financing of the equity swap.

Shares in Tabcorp (ASX:TAH) are trading 1.89 per cent lower at $4.67.
 

Jessica Amir

Finance News Network
Jessica is the head of news and a senior finance journalist and presents bulletins including the Market Outlook, Market at Midday and Market Wrap. She also interviews ASX CEOs and leading fund managers. She joined FNN in January 2017 with over six years of broadcast journalism experience including with Sky News Business, ABC 1, ABC's The Business and ABC24. She’s also worked as a TV reporter for Prime 7 and WIN News. Jessica has worked in financial planning for over six years with leading wealth managers and in real estate.