Aldar to introduce new formula to calculate dividends from 2016
Posted on 18th March 2016
Abu Dhabi's Aldar Properties is set to introduce a new formula to calculate its dividends from 2016 onwards.
The Abu-Dhabi developer's chairman said the new formula could lead to higher payouts for shareholders, Reuters reported, according to Constructionweekonline news report.
According to the company's annual report, the new policy is based on the underlying cashflow of Aldar's business.
Dividends will consist of two parts - the first will be a payout of 65-80% of distributable free cashflow derived from Aldar's wholly owned investment properties and a discretionary second part based on cash profits from the completion of newly built developments.
Abubaker al-Khoori, chairman, Aldar, was quoted by Reuters as saying: "There is a formula for dividen payouts from now on and dividends will grow as the company grows.
The developer has not disclosed how it previously calculated its dividends.Back to all Construction News
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