They probably just want to take some money off the table. How worried to get depends on what per cent of their holdings they are selling, when they bought, and why they need the money. This is still a good dividend play, but I have sold a few times in the last month.
Thanx. "TAL receives no proceeds..." so this does not benefit TAL and the price drops 5% to about the offer price of $36.90, just like a new share offer. I suppose this is an announced sale carefully managed so as not to spook the market as they unload 3M shares, and perhaps they are profit taking. I just haven't seen this before. So now I'm wondering if this is a buying opportunity or if the sellers know something we don't.
Who gets the proceeds if not TAL? By my calculation it's about a 10% dilution and shouldn't hurt the dividend as there was more than a 10% cushion in earnings over distributed dividend. Assuming nothing goes wrong with the business going forward.