Triglav Receives EUR 3.5 DPS Counterproposal

Pan-Slovenian Shareholders’ Association counterproposed a dividend payment of EUR 3.5 per share.

Triglav has received a counterproposal by the shareholder Zavod VZMD (Pan-Slovenian Shareholders’ Association) regarding the profit distribution.

Zavod VZMD counterproposed a dividend in the amount of EUR 3.5 per share (EUR 79.6m), which translates into a dividend yield of 10.5%. As a reminder, the Both the Management Board and the Supervisory Board proposed a dividend of EUR 1.70 per share (EUR 38.65m).

VZMD believes that after not paying any dividends last year it is appropriate and necessary that the Company allocates the majority of accumulated profit for dividend payments to its shareholders. As the submitting shareholder, VZMD believes that the Company is capable of paying such a dividend to its shareholders without adversely affecting or obstructing the Company’s plans. According to VZMD, the higher dividend payment will strengthen the confidence of existing and potential investors in the Company’s shares.

Triglav’s Management Board opposes the counterproposal. The Management’s proposal is based on the Company’s dividend policy, which is outlined as attractive for the shareholders while being sustainable in terms of the Triglav Group’s financial stability, growth and development. Both aspects were taken into consideration in a balanced manner, and due to the current situation, the precautionary aspect was additionally taken into account in the formulation of the proposal in accordance with the request of the Insurance Supervision Agency. The Management Board and the Supervisory Board propose that 53% of consolidated net profit be allocated for the payment of dividends, thus exceeding the 50% threshold set by the dividend policy.

Category : Flash News

Want to invest? Do not know how and where? Contact us and we will solve everything for you.