The Board of Directors of Samsung C&T Corporation approved the Company’s three year dividend policy for 2017-2019, which includes a significant increase in annual dividend payments.
– Samsung C&T announced for the first time a three year dividend policy to provide investors with greater predictability on their returns;
– Under the new dividend policy, the Company will increase the yearly dividend to 2,000 won per share.
The annual dividend of 2,000 won per share is nearly four times the 550 won per share paid in 2016 and will translate into approximately 330 billion won total dividend returns in 2017, compared with 90.8 billion won in 2016. Dividends in 2018 and 2019 will be maintained at the same level with 2017.
The significant increase in dividend comes as the Company tries to better fulfill expectations for higher shareholder returns. “Under this new dividend policy, we will focus on increasing dividend payments and providing shareholders with more predictable returns,” the Company said, adding it will continue to update its dividend policy in the future through open dialogue with its shareholders.
In addition, the Company announced that its Board is considering the nomination of new independent directors who have extensive experience at leading global companies in order to enhance diversity and to bring in greater professional expertise at the Board level.
These efforts to improve corporate governance, coupled with the significantly enhanced shareholder return policy, are expected to provide an upside momentum for the Company’s share price going forward.
“The Board of Directors and the management team will strive to enhance shareholder value by delivering solid financial results and further improving our corporate governance,” the Company said.