Russia’s MegaFon to work out new dividend policy by June

MOSCOW, Apr 28 (PRIME) -- Russian mobile operator MegaFon will unveil a new dividend policy by June, Financial Director Gevork Vermishyan told reporters Thursday.

“Our dividend policy adopted in 2012 when we held an initial public offering has aged a bit, in our view, and it needs renovation,” Vermishyan said.

The current policy stipulates the payment of dividends to the tune of 70% of a free cash flow, or 50% of the net profit on condition that the debt/OIBDA ratio is maintained at 1.2–1.5.

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