Telekom Slovenije received two counterproposals regarding the second dividend tranche. One was submitted by Small Shareholders’ Association of Slovenia (MDS) for the payment of the second dividend tranche to amount to EUR 3.5 DPS (DY: 3.9%), compared to the initial EUR 3.1 DPS. The second counterproposal was submitted by PanSlovenian Stakeholders Association (VZMD) for the second tranche to amount to EUR 4 DPS (DY: 5.7%).
To remind you, Telekom Slovenije has initially proposed EUR 6.2 DPS (DY at the share price before the announcement: 10.2%) to be paid out in two tranches, while the 1st tranche was already paid out in March 2024 – you can read more about it here. To put things into perspective, both of the received counterproposals are regarding the second dividend tranche, which amounted to EUR 3.1 DPS according to the initial proposal.
The first counterproposal that Telekom Slovenije received was submitted by the Small Shareholders’ Association of Slovenia (MDS). MDS proposed for the second dividend tranche of EUR 3.1 (as initially proposed), while part of the retained earnings from the previous years, should also be allocated to the distribution for the dividend, app. EUR 0.358 per share. For this additional amount, the same payment date as already voted by the general assembly is proposed, so that we do not cause unnecessary additional costs by paying out dividends. This implies that the second tranche payment to amount to c. EUR 3.5 (DY for this second tranche only amounts to 4.9%).
The second counterproposal was submitted by the PanSlovenian Stakeholders Association (VZMD). VZMD proposed for the second dividend tranche to amount to EUR 4 DPS (DY: 5.7%). According to the justification, VZMD is convinced that it is appropriate and necessary for the company to pay dividends to shareholders this year from the profit generated in 2023. VZMD noted that Telekom Slovenije did not pay any dividends in 2023, despite the fact that all the conditions for this have been met. Also, VZMD has been warning all the time about the extremely problematic splitting of dividend payments into several installments, therefore it proposes that the dividend from the profit generated in 2023 be paid out in one lump sum, together with the second part of the dividend for 2022, which the company must pay out in August. Also, just like with the first counterproposal, due to reduction of disproportionate costs of all stakeholders with payments or receipt of dividend payments, the payment date does not differ compared to the initially proposed one. Ex-date is set for 22 August 2024, while the payment date is set for 23 August 2024.
Telekom Slovenije Dividend per Share (EUR) and Dividend Yield (%) (2010 – 2024) – initial proposal
Source: Telekom Slovenije, InterCapital Research
