Pengana International Equities (ASX:PIA) said its board decided to develop an off-market equal-access buyback program after an independent board committee completed an assessment of the company's strategic options, according to a Monday Australian bourse filing.

The board is undertaking further analysis and due diligence of the matters referred to in Pengana Capital Group's (ASX:PCG) announcement and has requested further materials from Pengana Investment Management.

Pengana International's board was advised that the proposed change in sub-investment manager announced by Pengana Capital may result in the realization of previous unrealized gains in the investment portfolio and the corresponding deferred tax liabilities within the company.

The Pengana International board is also considering the potential payment of a fully-franked special dividend to all shareholders, recognizing the potential tax consequences associated with any capital management initiatives, per the filing.

Pengana International's shares fell nearly 5% in recent trading on Monday.