PGE down firmly. Treasury wants to cut the dividend – Banker

When taking place on Tuesday, the General Meeting of Shareholders of the Polish Energy Group major shareholder, the Treasury proposed a lower dividend. Quotations of PGE shares on the Warsaw Stock Exchange immediately dropped.

 

In May, the Board of PGE recommended allocation to dividend 1.72 billion zł. This would mean that for one share of the company would fall 92 cents. The new main shareholder proposal assumes that the Polish Energy Group will pay only 25 cents per share. The proposal was so truncated by more than 70%.

 

It is worth noting that earlier proposal also could be disappointing for investors. The company previously announced that, in accordance with the dividend policy, updated in August 2015 the company’s management intends to recommend a dividend of 40-50 percent. consolidated net profit corrected by the amount of write-downs of fixed assets. This meant that the dividend was to be in the range of 0,92-1,15 zł per share. Selected so the lowest possible option.

 
 
 
 
 

Information about the proposal SMEs affected the quotations of PGE. The company’s shares still around 14:30 and were quoted at 13.3 zł, so 1.45% over the line. Moments later, these securities were valued, however, already at 12,27 zł. They were so up 6.41% in the red.

 

the net loss of the PGE, attributable to shareholders of the parent company amounted in 2015 to 3.03 billion zł zł 3.64 billion profit a year earlier. Adjusted for write-downs net profit attributable to shareholders of the parent company was in turn 4.29 billion zł to zł 3.76 billion a year earlier. In 2015, the company paid a dividend of 1.46 billion zł, or 0.78 zł per share.

 

Adam Torchała