Cash dividends property dividends liquidating dividends and stock dividends

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(ROCK) by distributing those shares to Meralco shareholders as property dividends.Stockholders got 2.818 common shares of ROCK for every one (1) share of MER held. eventually listed on the Philippine Stock Exchange also by way of introduction in May 2012.

Many companies pay dividends in stock so you can avoid paying any taxes until the stock is actually sold.This third type is called Property Dividends, which are dividends in the form of other assets, such as tangible products of the company or shares of stocks in a company affiliate or subsidiary.Companies usually resort to property dividends if they want to distribute dividends to stockholders but do not want to use cash, perhaps because they do not have enough cash on hand, or do not want to dilute the company’s ownership with additional shares of stocks distributed as stock dividends.Since the firm has little or no income, actual assets are used to pay the dividend.Under law, a failing company must pay all its liabilities before any liquidating dividends can be given to investors.

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