National Australia Bank (NAB) and ShareGift Australia have partnered on an innovative way for shareholders to give their share sale proceeds direct to charity.
As NAB progresses with the demerger and proposed IPO of Clydesdale Bank, eligible NAB shareholders will be entitled to one CYBG PLC security for every four NAB shares owned.
The partnership with ShareGift Australia offers holders of small parcels of shares – those who hold 2000 NAB shares or less as at the Scheme Record Datea convenient and cost effective way to gift their CYBG securities to charity if they wish.
It sets a precedent in Australia for incorporating charitable giving into large corporate transactions.
NAB Group Executive Governance and Reputation Michaela Healey said NAB was proud to have led the sector to develop a platform that provides shareholders with an easy and cost effective way to support the community.
“This innovative arrangement is the first of its kind in Australia. It demonstrates NAB’s commitment to building stronger and more prosperous communities, and provides our shareholders with the opportunity to participate in a new form of charitable giving,” she said.
Chairman of ShareGift Australia Christopher Thorn welcomed NAB’s initiative on doing the right thing in a transaction of this size.
“NAB’s leadership in giving shareholders this option to donate small parcels of shares sets a fine example for others. We hope this will act as an incentive for other ASX listed companies to use ShareGift Australia as part of their corporate transactions,” Mr Thorn said.
Sale proceeds donated to ShareGift Australia as part of this arrangement will be distributed to eligible charities supporting people experiencing social exclusion and financial hardship. A list of recipient charities will be published on the ShareGift website following completion of the demerger transaction. CYBG PLC is the new holding company of Clydesdale Bank plc.
About ShareGift Australia:
ShareGift Australia is a not-for-profit organisation that gives shareholders an easy administrative and cost effective way to donate shares or cash proceeds to the community. To date, more than $1 million of charitable giving has been facilitated by ShareGift Australia and donated to over 390 charities, mobilising a new stream of charitable funds. A full list of charities supported by Sharegift Australia is available on the ShareGift website- http://www.sharegiftaustralia.org.au/charities-we-support#full-list