What does Shares For Good mean to New Zealand Corporations?

Companies and Shares for Good

Corporate activity such as mergers, acquisitions and share splits can generate odd lots of shares representing hundreds of thousands of dollars. These holdings are often ignored by their owners as it is simply does not make economic sense to sell them.

However, the cost to the company in servicing these small shareholders and maintaining registers is significant. Shares for Good can work with companies to help them identify these small shareholders and encourage them to donate their shares, thereby consolidating odd lot shares and reducing costs.

Companies may add Shares for Good information to their annual reports, normal shareholder correspondence or undertake a specific Shares for Good communication to tell their shareholders about this initiative.

Using Shares for Good to enhance Corporate Social Responsibility

Research shows us that 71 percent of Kiwis would be more likely to buy a product or service from a company that supports a worthy cause and are more likely to remain loyal to a company they know to be supporting a charity. Now, more than ever before, "doing good is good for business".

Companies may wish to consider using Shares for Good to enhance their social reputation by donating shares to charity.

The Shares for Good mechanism offers companies an innovative way to donate money via the placement of shares for the benefit of their chosen charitable partner or initiative.