GFH, a major financial group based in Bahrain with interests in real estate development, wealth and asset management, said it has won investor approval to distribute cash dividends worth $42 million as per the board of directors’ recommendation.
The announcement came after its annual and extraordinary general meeting, held virtually today (April 6) for the financial year ended December 31, 2020.
The dividends also included cash profits for all ordinary shares, save for treasury shares, at 1.86% of the nominal value of the share (equal to $0.0049) totaling $17 million and bonus shares for all ordinary shares at 2.56% of the nominal value of the share (one share for each 39.03 shares owned) equivalent to $25 million.
The AGM saw shareholders approve the board's report on the GFH's business activities for the 2020 financial year, the reappointment of the group’s external auditors for 2021 and the board’s recommendation for the voluntary delisting of the Group's shares from the Kuwait bourse.
The EGM further saw shareholders approve the reduction of the group’s capital by the cancellation of treasury shares amounting up to a maximum of 141,335,000 shares worth up to $37.45 million.
This is the result of the cancelation of the Group’s market maker agreement and subject to the approval of the competent regulatory authorities.
Shareholders also approved an increase in the group’s capital from $975.64 million to $1.64 billion as a result of the addition of bonus shares amounting to 94,339,623 shares subject to the approval of the Central Bank of Bahrain.
CEO Hisham Alrayes said: "We are delighted to see shareholders approve the distribution of another solid dividend by the group despite the unprecedented events that characterised the 2020 financial year and the exceptionally difficult operating climate created by the pandemic."
"Our strong foundations, sound strategy and success in the diversification of our business and income streams, nevertheless, allowed us to effectively navigate the challenges of 2020. We are proud of GFH’s ability to continue to demonstrate our resilience and to create and deliver value no matter how challenging the circumstances," he added.-TradeArabia News Service