CBL announces first dividend payment since October listing
The board did not declare a dividend in February when it reported its annual results for the year ended December 31, 2015.
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CBL Corp [NZX: CBL], the NZX-listed company that sells credit surety and financial risk insurance, has announced a 4.5c dividend.
The board did not declare a dividend in February when it reported its annual results for the year ended December 31, 2015, but said its policy to distribute 30% of adjusted net profit subject to regulatory capital and liquidity requirements remained unchanged, and details of the dividend would be announced toward the end of March.
In a statement, chairman John Wells announced a 4.5c per share dividend with a record date of April 15, payable on April 22. The dividend is split into a final dividend of 2.7c , and a special dividend of 1.8c , which Mr Wells said was to reflect its first half of 2015, before its October 13 initial public offering.
"Please note shareholders who participated in the IPO on October 13, 2015, or acquired shares subsequently and are holders on the record date, will receive the benefit of this special dividend as no pre-IPO interim dividend was declared and paid," Mr Wells said.
CBL raised $90 million of new capital in the IPO before listing on the NZX and ASX, with that capital used to fund the purchase of Australian specialty insurer Assetinsure. It also took a 92% stake in accounting expense insurance provider Professional Fee Protection in the UK and 35% of Mexican specialist bonding and surety insurance company Fiducia.
The company, which began as Contractors Bonding Ltd in 1973, derives almost 98% of its revenue from international operations. Its annual earnings report in February showed it outperformed its IPO profit forecast of $26.1 million, and lifted annual net profit 83% to $35.5 million in 2015.
The shares rose 0.8% to $2.47 and have gained 60% from the offer price of $1.55.
(BusinessDesk)
Sophie Boot
Thu, 31 Mar 2016
Thu, 31 Mar 2016
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CBL announces first dividend payment since October listing
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