CBL declares first-half dividend of 3c
CBL Corp, which raised $60 million to help fund its international ambitions, has declared an interim dividend of 3c per share.
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CBL Corp, which raised $60 million to help fund its international ambitions, has declared an interim dividend of 3c per share.
The Auckland-based credit surety and financial risk insurer will pay the dividend on October 31 to shareholders on the register on October 28, it said in a statement. CBL posted a first-half profit of $18.6 million, or 8.49c, in August, though its register has since expanded with the share sale to institutional investors who are entitled to the dividend.
The new capital will reduce CBL's pro forma debt to $102 million from $162 million, which the insurer says will give it enough room to pursue new opportunities. Those include accelerating existing business lines into new markets, such as selling surety bonds into Spain and Italy and chasing new acquisitions, with the company in talks to buy a licensed shell insurance company in the US for $US6.3 million.
CBL plans to raise up to a further $3 million through a share purchase plan to eligible investors on the register on September 28. The offer period runs between October 5 and October 25.
The shares fell 1.1% to $3.66, having jumped 67% this year making it the fourth-best performer on the S&P/NZX All Index.
(BusinessDesk)
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Paul McBeth
Fri, 07 Oct 2016
Fri, 07 Oct 2016
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CBL declares first-half dividend of 3c
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