logo
Share SHARE
FONT-SIZE Plus   Neg

Invensys To Return About GBP 625 Mln Cash To Shareholders - Quick Facts

Invensys Plc. (ISYS.L, IVNYY.PK) confirmed its intention to return about 625 million pounds of the cash proceeds received from the company's recent disposal of its Rail Division to Siemens (SI) through a return of 76.7 pence per Existing Ordinary Share to Shareholders on the register as at 6.00 p.m. on 11 June 2013.

The company said that the Return of Cash has been structured to allow Shareholders, subject to applicable overseas restrictions, to elect to receive their proceeds as immediate income, immediate capital, deferred capital or any combination of the three.

The company said it proposes a proportional consolidation of its ordinary share capital in order to maintain the market price for Ordinary Shares at approximately the same level as prevailed immediately prior to the implementation of the Return of Cash. Accordingly, Shareholders will receive 4 New Ordinary Shares for every 5 Existing Ordinary Shares held at the Record Time. The effect of this will be to reduce the number of Existing Ordinary Shares in issue to reflect the return of 76.7 pence per Existing Ordinary Share to Shareholders under the Return of Cash.

However, the company said the shareholders will own the same proportion of the Company as they did beforehand, subject to fractional entitlements and to any dilution as a result of issues of New Ordinary Shares to the Company's employee benefit trusts.

In addition, the company has arranged for facilities to be made available to holders of 1,200 or fewer Existing Ordinary Shares at the Record Time with a registered address in the UK, any other EEA Country or Australia. The Nil Cost Dealing Facilities will give Small Shareholders the opportunity to sell all (but not some) of their New Ordinary Shares free of dealing costs and commissions, which are typically disproportionate for a holding of Ordinary Shares of this size.

On 15 May 2013 the Board recommended a final dividend for the full year ended 31 March 2013 of 2.85 pence per Existing Ordinary Share, amounting to 23 million pounds in aggregate, such final dividend being subject to approval of Shareholders at the Company's Annual General Meeting.

If the Share Capital Consolidation is approved by Shareholders at the General Meeting, the Board has recommended that the aggregate amount of the final dividend will remain 23 million pounds but will be paid on the New Ordinary Shares resulting from the Share Capital Consolidation. As a result, the final dividend (if approved) will increase to 3.57 pence per New Ordinary Share.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
French car maker Renault SA reported Friday higher profit in its fiscal 2015, with strong growth in automotive profit and revenues. The company announced higher dividend. Looking ahead, for fiscal 2016, Renault expects to increase group revenues at constant exchange rates and improve group operating margin. Shares of Rolls-Royce Holdings Plc were gaining around 13 percent in the morning trading in London after the engine maker reported more-than doubled profit in its fiscal year 2015, with lower one-time items. Underlying earnings were hurt by weakness in Marine markets. Further, the company halved its dividends, and still expects lower revenues next year. German steel giant ThyssenKrupp AG reported a loss in its first quarter, compared to last year's profit as sales and orders were hurt by sharp deterioration in materials businesses. The company said its overall performance in the first quarter was within its full-year forecast corridor. Looking ahead, the company continues to expect higher net income and flat sales for fiscal 2016.
comments powered by Disqus
Follow RTT