Share structure
At the end of the year, Betsson had 39,553,720 shares, distributed as 5,420,000 A shares and 34,133,720 B shares. Each A share is entitled to 10 votes per share, while each B share is entitled to one vote per share. All shares have equal entitlement to Betsson assets and earnings.
Repurchased shares
Company holdings of its own shares on closing day amounted to 259,555 B shares which had been acquired at an average share cost of SEK 58.27 during the course of 2007–2008. The number of shares outstanding, excluding repurchased shares, on closing day amounted to 39,294,165 shares of which 5,420,000 were A and 33,874,165 were B shares.
Redemtion programme
The Annual General Meeting on 3 June 2010 took a share split 2:1 deci- sion and an automatic redemption programme of the redeemable shares that had arisen from the share split. The redemption procedure caused SEK 353.2 (200.1) million, the equivalent of SEK 9.00 (5.10) per share, to be transferred out to the company shareholders on 7 July 2010.
Bonus isuue etc.
In connection with this redemption procedure, a bonus issue was made to a total of SEK 39.6 million in order to restore the company’s share capital.
Incentive programme
2010–2012: At the extraordinary AGM that was held on August 23, 2010 it was decided to implement two incentive programmes – one aimed at employees in Sweden (subscription options) and one at employees abroad (stock options).
On the final date of the Swedish offer, 359,800 options/warrants had been subscribed at a market rate premium of SEK 3.78 per war- rant, which has provided an additional SEK 1,360 thousands to equity. On the final date of the foreign offer, 376,000 stock options had been subscribed.
Each option entitles the holder to subscribe to one new B share in Betsson AB in late 2012 at a price of SEK 113.40 per warrant or per employee stock option.
2008–2010: These two incentive progammes was exercised during the fourth quarter 2010.
All ongoing and executed option programmes and their effects are described in Note 28.
Share price trends
Analysts who monitor Betsson
Dawid Myslinski
Redeye |
Daniel Ek
Carnegie Investment Bank |
Johan Isaksson
Remium AB |
Johan Grabe
Nordea |
Martin Arnell
ABGSC |
Henrik Fröjd
Swedbank |
Stefan Nelson
SEB Enskilda |
Rasmus Engberg
Handelsbanken |
Karen Hooi
Goldman Sachs International |
James Hollins
Daniel Stewart & Company |
Bile Daar
Danske Bank |
Mikael Holm
Penser |
Ownership structure
As of 30 December 2010, there were 11,484 (9,905) shareholders in Betsson. The proportion of foreign shareholders amounted to 5 (5) per cent. Foreign share ownership amounted to 24 (34) percent of share capital and 19 (30) percent of the votes.
The proportion of individual people owning shares was 89 (89) per cent. The proportion of shares owned by individual people was 25 (24) per cent of share capital and 25 (25) per cent of the votes.
Share liquidity
Totally 38.0 (49.5) million shares changed hands during the year which is the equivalent of 97 (126) per cent of the average number of outstanding B shares. On average 150,000 (197,000) shares changed hands per trad- ing day and the number of trades averaged 462 (439) per trading day.
Share price performance and turnover
Share price during the year increased by 7 (60) per cent. The share price (last paid) on the closing day was SEK 117.00 (109.75), which generated a market value of SEK 4.6 (4.3) billion.
Highest price quotation during 2010 was SEK 134.25 (121.00) on February 1 (November 10) and the lowest quotation was SEK 87.00 (67.75) on July 1 (January 5). The average share price during the year was SEK 109.79 (95.09).
Total turnover of shares during the year was SEK 4,168 (4,709) mil- lion, which is equal to an average of SEK 16.5 (18.8) million per trad- ing day and approximately SEK 36,000 (43,000) per average deal.
Dividend policy and proposal
The Board proposes that the Annual General Meeting takes a deci- sion to transfer SEK 7.00 (9.00) per share of which 7.00 (5.75) SEK concerns transfers for the 2010 financial year and SEK 0.00 (3.25) is extra transfer to the shareholders. This represents a transfer to shareholders amounting to SEK 275.8 (353.2) million.
The company’s dividend policy means that 75 per cent of earnings may be transferred to the shareholders, provided that a suitable capi- tal structure can be maintained. In light of the company’s strong devel- opment, the Board proposes that an additional transfer be made.
The Board intends to propose to the AGM that the transfer to shareholders be achieved through a share redemption programme. The Board’s full proposals will be presented well in advance of the Annual General Meeting.