The Italmobiliare Board of Directors, which examined the 2016 financial statements reflecting a profit for the year of 759.8 million euro (19.5 million euro for 2015), will ask the AGM to approve a pre-split per-share dividend of 1 euro (0.4 euro for 2015), for a total dividend of 22.9 million euro (16.3 million euro in 2015 distributed to a larger number of shares, including the savings shares subsequently converted into ordinary shares last September).
The Board also approved the project to be presented to the AGM for a partial Voluntary Public Tender Offer on company shares for a total amount of 100 million euro, which will not be taken up by the majority shareholder. The purchase price of 50 euro per share pre-split offers a premium of 7.9% over the share price at March 1, adjusted to take account of the proposed dividend, and 22.7% over the average share price of the previous 12 months. After receiving the required authorizations, the offer should take place next July. The shareholders will also be asked to approve a 2-for-1 Italmobiliare stock split.
“2016 was an extraordinary year for Italmobiliare, with the closing of the agreement with HeidelbergCement and the subsequent conversion of the savings shares into ordinary shares to complete the Group’s extensive refocusing and re-organization plan launched in mid-2015,” said CEO Carlo Pesenti. “Considering the more than 150% rise in value of Italmobiliare stock in the past 5 years, against the 20% rise in the general stock market index, the proposal for a per-share dividend up from 0.4 to 1 euro together with the planned buyback is a modern and effective form of shareholder remuneration, in line with the policies adopted by major international investment holdings. The planned stock split will give our shares greater liquidity on the stock market, and also provide support for the reduction of the NAV discount, which has passed from 61.5% to 36% in the last 5 years.”