Report: Russia’s Norilsk Nickel owners to adjust dividend policy

MOSCOW, Mar 31 (PRIME) -- Norilsk Nickel’s CEO Vladimir Potanin and another owner of the company, Oleg Deripaska, have preliminary agreed to adjust the dividend policy of the Russian nickel producer so that the company’s dividend payout ratio depends on market conditions, Bloomberg reported citing three sources with knowledge of situation on Thursday.

Norilsk Nickel and Deripaska’s aluminum giant RUSAL declined to comment.

Potanin’s Interros holds 30.3% in Norilsk Nickel, RUSAL holds 27.8%, Millhouse of Roman Abramovich owns 5.87% and Alisher Usmanov’s Metalloinvest has about 3.2%.

Earlier in March, Norilsk Nickel’s CFO Sergei Malyshev said company’s management will make its dividend proposals once it analyzes the company’s financial report under International Financial Reporting Standards (IFRS).

At present, Norilsk Nickel’s dividend policy envisages payment of 50% of earnings before interest, taxes, depreciation and amortization (EBITDA) in dividends but at least U.S. $2 billion annually. Norilsk Nickel’s EBITDA decreased 24.4% to $4.269 billion in 2015.

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