Post-mortem: Telstra dividend dying
Analysts say Telstra's $636 million deal Trading Post Group acquisition may stifle the telco's ability to return funds to shareholders through extra dividends or share buybacks. Goldman Sachs JB Were said this kind of transaction clearly reduces the “potency” of Telstra's share price catalysts. Analysts say, however, that the Trading Post acquisition fits in with Telstra's Sensis directories business although the telco paid too much for it. CEO Ziggy Switkowski has given his clearest indication to date that an IPO for Sensis is in the pipeline. Investors continued to punish Telstra yesterday with its share price falling for the fifth consecutive day. It closed at $4.72.