Safeway said Monday its board of directors as declared a special stock dividend of 37.9 million shares of Blackhawk Network Holdings Class B common stock — the entire amount the chain owns.
Distribution is scheduled for April 14 to stockholders of record April 3.
The action follows the announcement earlier this month that Safeway will be acquired by AB Acquisition LLC.
The Blackhawk shares represent approximately 94.2% of the total Class B stock outstanding and approximately 72% of the total number of all common stock outstanding in Class A and Class B.
The Class B stock is not currently traded on any stock exchange but, upon completion of the dividend, it is expected to trade on the Nasdaq Global Select Market under the symbol HAWKB; the Class A shares already trade on the Nasdaq under the symbol HAWK.
With approximately 230 million shares of common stock outstanding on March 21. Safeway said it anticipates that each stockholder will receive approximately 0.16 of a share of Blackhawk Class B common stock for every share of Safeway common stock held on the record date, less any shares of Blackhawk Class B withheld in respect of applicable withholding taxes.
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