Metlife, like BBVA before them, will be the majority shareholder and can influence the dividend
payouts. But, they will have to pay the same dividend per share to minority shareholders as they
pay themselves. I guess BBVA has been under severe pressure because of the ongoing economic crisis in Spain,
so they may have been paying out the maximum permitted under Chilean regulations. I guess for the next year or
two the dividend may not be as generous, if Metlife chooses to have Provida retain more of their earnings
and reinvest in the business. Metlife may also delist Provida's shares. I guess the shares would still
trade but on a venue with larger spreads. Of course the spreads haven't ever been very narrow.
I wonder what longtime institutional shareholders like Royce will do. I'm sure their cost basis is very low, so they
won't want to sell to Metlife. Provida is still a great business, because by law Chilean workers have pension contributions automatically deducted from their paychecks, and AFPs like Provida skim fees from the incoming river of cash. No wonder Metlife is buying BBVA's big slice, and I think at $92.21 per share, they may be getting a great deal. In any case, it sure beats the typical place life insurers stash their cash - US treasuries. But, most of what I say is guesswork.