Russia’s Nordgold may announce interim dividends soon

MOSCOW, Dec 8 (PRIME) -- The board of directors of gold mining company Nordgold, controlled by Russian businessman Alexei Mordashov, plans to announce payment of interim dividends soon, the company said in a statement on Thursday.

The company “has completed reduction of capital, involving reduction in the nominal value of each ordinary share of Nordgold and cancellation of the company's share premium account required to create sufficient distributable reserves at a holding company level to facilitate the payment of dividends,” the statement read.

“Following the capital reduction, the issued share capital of the company consists of 370,396,229 ordinary shares of 1 euro each, as of December 8, 2016. The board intends to declare payment of the interim dividend shortly.”

The company earlier said that capital reduction and cancellation of the share premium account will allow it to collect reserves to pay dividends in accordance with the dividend policy. The policy of Nordgold envisages quarterly payments amounting to 30% of normalized net profit distributable among the shareholders.

The company did not pay dividends for April–June and July–September because of a jurisdiction change but promised to pay them as soon as possible. April–June dividends will amount to $20.4 million and the July–September payout to $15.7 million.

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