StanbicIBTC explains its new multi-year “scrip dividend” plans to its to shareholders

Stanbic IBTC, in a press release dated Tuesday 29th August, 2017 disclosed that shareholders have a choice of receiving dividends declared by the Company, up to year 2020, either in cash or may elect to receive their dividends as new ordinary shares in the Company (“scrip dividend”).

This is in line with the authority granted to directors by shareholders at the 06 August 2015 Extra Ordinary General Meeting, and as published in the Notice of its 5^th Annual General Meeting of Stanbic IBTC Holdings PLC, dated 10 August 2017.

In this regard, the release stated that shareholders who wish to receive his or her dividends by way of new ordinary shares must make this known to the company’s registrar not later than seven working days prior to any dividend payment date.

Such scrip dividend according to the Company, shall only be allotted after receipt of any required regulatory approval and shall apply to shareholders whose names were on the Register of Members as at the qualification dates for the payment of such dividend (“Qualifying shareholders”).

It further stated that with respect to the 5kobo dividend being recommended by directors for approval at the 5^th Annual General Meeting of the company, holding on Tuesday 12th September, 2017 the reference price for determining the scrip dividend allotment is N18.20k

According to the release signed by Chidi Okezie, the Company Secretary, the reference price to be used in determining any scrip dividend allotment shall be the volume weighted average price (VWAP) of the Company’s shares on The Nigeria Stock Exchange (NSE) for the five business days commencing on the day the ordinary shares are first quoted ex-dividend.

Shareholders, who wish to receive their 5 kobo dividend by way of new ordinary shares are to download the Scrip Dividend Election form from the Company’s website or obtain a copy of the form from the Company Secretary or other relevant Officials and then submit the form to First Registrars Limited who are registrars to the bank.

Shareholders who however elect to receive their dividends in cash, are not required to take any action as they will have their dividend warrants or bank accounts (in the case of shareholders with the appropriate e-dividend mandate) sent/credited on the dividend payment date.