MMK To Pay Dividend in 2017

UrBC, Magnitogorsk, October 4, 2017. Magnitogorsk Iron & Steel Works (MMK) shareholders voted for paying the dividend for the first half of 2017 in the course of a recent annual general meeting. The dividends stem from the company’s ordinary registered shares, MMK website reports.

The amount was determined at RUR 0.869 per share, tax-inclusive. $164m will be paid out altogether.

‘This amount equals to 75% of the company’s free cash flow (according to our IAS-based calculations) in the first half of the year and is above the required lower payout limit set by MMK regulations (at least 50% of the FCF). The increased dividend amount is meant to make up for the smaller free cash flow amount in the first half of 2017 (this had to do with the seasonal cash outflow to working capital),’ the press service says.

The dividends will be paid in money, in non-cash form, on the terms and conditions set out by the Federal Joint Stock Companies Act.

The shareholders eligible to apply for dividend repayments will have to be determined by October 10, 2017.

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