Stanbic offers shareholders scrip dividend option
Stanbic IBTC Holdings Plc has offered its shareholders the option to receive scrip dividends in lieu of cash dividends over the next three years (up to 2020).
In a statement obtained from NSE’s website, the lender advised the shareholders that in line with the authority granted to Directors by shareholders at the 06 August 2015 Extra Ordinary General Meeting, shareholders have a choice of receiving dividends declared by the company, up to year 2020, either in cash or may elect to receive their dividends as new ordinary shares in the company (scrip dividend).
The statement signed by the Company Secretary, Chidi Okezie said: “Where a shareholder elects to receive his or her dividends by way of new ordinary shares, then such scrip dividend shall only be allotted after receipt of any required regulatory approval and shall apply to shareholders whose names were on the register of members as at the qualification dates for the payment of such dividends (qualifying shareholders).
“In order to be valid, any scrip dividend election by shareholders, must be made to the company’s registrars, not later than seven working days prior to any dividend payment date. With respect to the sixty (60) kobo interim dividend approved by the Board for distribution to shareholders on 27 September 2017, the qualification date as previously published was Wednesday 06 September 2017.
“The reference price to be used in determining any scrip dividend allotment shall be the volume weighted average price (VWAP) of the company’s shares on the Nigeria Stock Exchange (NSE) for the five business days commencing on the day the ordinary shares are first quoted ex-dividend. Thus with respect to the sixty (60) kobo Interim Dividend indicated above, the reference price for determining the scrip dividend allotment is N39.45”.
Stanbic posted a 113 per cent increase in profit after tax for the half year ended June 30, 2017.
The result, which was submitted to the Nigerian Stock Exchange (NSE), showed profit after tax of N24.112 billion, a growth of 113 per cent compared to N11.317 billion in the corresponding period of 2016.
Profit before tax also increased by 86 per cent to N29.169 billion during the period, from N15.682 billion recorded last year.
The six months audited results for the period ended 30 June 2017 also showed gross earnings at N97.198 billion, an increase of 36.28 per cent over the N71.320 billion recorded in the corresponding period of last year. Total assets went up by 21 per cent to N1.273 trillion from N1.053 trillion in December 2016.
Commenting on the results, Chief Executive Officer, Stanbic IBTC Holdings Plc, Yinka Sanni, said: “The domestic environment in the first half of 2017 recorded a decline in headline inflation, improved foreign exchange liquidity and a gradual economic expansion as measured by the Purchasing Managers’ Index. The improved operating environment positively impacted our businesses leading to significant improvement in our financial results.”