The Board of BUA Cement Plc, Nigeria’s second-largest cement manufacturer, has announced the payment of N70 billion as the dividend for the period ended 31st December 2020.
According to the announcement published by the company on the website of the Nigerian Stock Exchange, BUA Cement is expected to pay a dividend of N2.067 per share for all the outstanding 33,864,354,060 ordinary shares of the company.
This brings the total dividend payout to qualifying shareholders to N69.998 billion.
The final dividend, however, will be paid electronically to shareholders on the 9th of July, 2021, subject to appropriate withholding tax and approval at the Company’s Annual General Meeting.
Conditions to qualify for the dividend
- Only shareholders whose names appear in the Register of Members at the close of business on Friday, 9th of July 2021 will be considered.
- Qualifying shareholders must have completed the e-dividend registration and must have mandated the Registrar (Africa Prudential) to pay their dividends directly into their bank accounts.
- For the purpose of the dividend payment, the Register of Shareholders will be closed from 12th July 2021 to 16th July 2021, to enable the registrar to process shareholders’ dividends.
What you should know
- The dividend proposed by the board of BUA Cement for the year 2020 is 18.11% higher than the dividend of N59.26 billion the company paid to shareholders last year.
- With the market value of BUA Cement shares put at N73.5 per share, the cement maker’s dividend yield is pegged at 2.81%. The company’s market capitalization at the close of the market today is put at N2.489 trillion.
BUA Cement Plc declared in its audited financial statement for 2020, that its profits grew by 19.4% year-on-year to N72.34 billion for the financial year of 2020, compared to last year’s figure of N60.34 billion.
The double-digit growth in profit was a testament to the cement maker’s focus on efficiency, excellent cost optimization strategies, newer technologically advanced plants, and lastly the strong growth in revenue which was driven by the rising demand for cement.