Ferrexpo declares decent special dividend
Ferrexpo announced a special dividend on Thursday, after reporting that it had continued to trade as expected in the second half of 2018.
Ferrexpo
51.50p
16:40 26/04/24
FTSE 250
19,824.16
16:59 26/04/24
FTSE 350
4,470.09
16:59 26/04/24
FTSE All-Share
4,423.59
17:14 26/04/24
Industrial Metals & Mining
7,064.15
16:59 26/04/24
The FTSE 250 company said pellet premiums remained at the high levels of the first half of 2018, and cash generation had enabled debt reduction and funded capital expenditure.
Overall, its board said it believed seaborne pellet demand would be “strong” in 2019, while supply was expected to remain constrained.
“As a result of strong cash generation, the board has declared a special interim dividend of 6.6 US cents or $40m,” Ferrexpo said in its statement.
That was an improvement from the 3.3 cents, or $20m, paid as a special interim dividend last year.
“The board's strategy is to maintain a balance between sustainable and attractive shareholder returns, investment in growth opportunities and balance sheet strength.
“The board will consider the final dividend for 2018 ahead of the full year results on 20 March 2019.”
Ferrexpo said the dividend would be paid on 14 January to shareholders on the register at the close of business on 14 December.
It would be paid in sterling, with an election to receive it in dollars.