The board of directors of Magnitogorsk Iron and Steel Works (MMK) has approved a new dividend policy, under which the company will raise its dividend payout to at least 50% of its free cash flow from 30%, Board Chairman Viktor Rashnikov said.
“The new payment plan says the company will allocate at least 50% of free cash flow to dividends. This is good news for investors,” he said.
According to the company’s Web site, its shareholders are Mintha Holding Limited, whose beneficiary is Rashnikov, with an 87.26% stake; the Bank of New York Mellon, beneficiaries of which are owners of global depositary receipts, with 4.88%; and other shareholders with 7.86%. (Prime/Ukrainian metal)