Sistema owner hopes to return to current dividend policy soon

MOSCOW, Apr 2 (PRIME) -- Russian multi-industry holding Sistema hopes to resume dividend payments in line with its current policy soon, key owner Vladimir Yevtushenkov told reporters on Tuesday.

“We are considering the issue. Maybe, we will return to the current dividend policy very soon,” he said.

On Monday, Sistema’s board of directors recommended paying 1.062 billion rubles, or 0.11 rubles per common share and 2.2 rubles per global depositary receipt (GDR), in dividends for 2018, which is less than recommended by the dividend policy because of the need to reduce debt.

Under a dividend policy approved in 2017, Sistema pays the higher figure in total dividends for a year – either 1.19 rubles per share or a dividend yield of 6% to a weighted average of a Sistema share price for the year.

In March 2018, Sistema finished paying 100 billion rubles to oil company Bashneft under an amicable agreement with Bashneft’s parent oil major Rosneft, and announced plans to reduce its debt to 160–190 billion rubles until the end of 2018 and to below 150 billion rubles until July 2019 from 227 billion rubles in 2017.

(65.4176 rubles – U.S. $1)

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