How to handle the Mengniu Dairy's acquisition on Bellamy

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Sharesightmakes it easy for investors to handle corporate actions (even complicated acquisitions) and track the capital gains tax implications.

The benefit of using Sharesight to track the Bellamy’s Australia (BAL.ASX) takeover by China Mengniu Dairy ensures that you maintain an accurate record of your portfolio performance.

On 24 Dec 19, China Mengniu Dairy successfully acquired Bellamy’s Australia for $1.5 billion. Bellamy’s shareholders receive a total of $13.25 cash per share comprising:

$12.65 cash per share from Mengniu under the Scheme; and $0.60 per share fully franked special dividend paid by Bellamy’s.

As the fully franked special dividend is automatically handled by Sharesight, below are the steps to record the $12.65 cash per share.

1 – Click on Bellamy’s Australia, BAL.ASX on the Portfolio Overview Page, to go to Individual Holding Page.

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2 – In the Individual Holding Page, click ‘Enter a new Trade or Adjustment’.

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3 – On the pop-up window, select ‘Sell’ from the transaction type dropdown.

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Based on the Letter to Shareholders, set the:

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4 – ‘Date of trade’: 24 Dec 2019

5 – ‘Quantity’: quantity held on record date

6 – ‘Share price’: $12.65

7 – Comment: China Mengniu Dairy acquisition of Bellamy.

8 – Click ‘Save this trade’.

The guide above is a suggestion on how to handle the corporate action in Sharesight and is not finance or tax advice. We advise you to consult your financial advisor or accountant. We also encourage you to review the official documents for full details.

Last modified on August 19, 2021 UTC

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