Shareholders of Dangote Cement have unanimously authorised the management of the company to undertake a share buy-back of up to 10 percent of its issued shares.
The company had earlier indicated an interest in undergoing a share buy-back programme, in respect of up to 10 percent of its issued shares, for the purpose of improving the company’s return on equity and its shareholders’ value, so as to facilitate the future long-term growth of the company.
The approval through voting, which was given at the company’s extraordinary general meeting, held in Lagos, Tuesday, recorded a 100 percent approval from the shareholders, with many of them describing the exercise as laudable and a win-win situation for them.
Among other resolutions, the shareholders authorised that the “Memorandum and Articles of Association of the company be amended (as applicable), upon completion of the share buy-back, to reflect the company’s share capital, following the cancellation (if any) of the shares acquired and/or otherwise held by the company.”
The board was also authorised to ensure that the amendment of the Articles of Association of the company reflects the company’s share capital, following the cancellation (if any) of the shares acquired and/or otherwise held by the company.
It would be recalled that the shareholders, at the company’s recent 13th annual general meeting, also commended the management for an impressive performance despite the economic challenges in the year under review.
They approved N20 per share for the year ended December 31, 2021, as against the N16 paid in the preceding year. That represents a 25 percent increase in dividend compared to the 2020 dividend of N16.00 per share, reinforcing the company’s commitment to maximising shareholder value.
Read also: Greenville, NASIDA sign MoU establishing LNG infrastructure in Nasarawa
Dangote Cement in the year under review achieved its highest profit before tax in its history at N538.4 billion. The company also recorded group volumes of 29.3Mta, up 13.8 percent. Exceptional EBITDA of N684.6 billion was achieved, up by 43.2 percent owing to strong cost control measures.
Aliko Dangote, chairman of the company, said that “Over the last decade, Dangote Cement has recorded exponential growth across all areas.”
According to him, “Group volumes are now at almost 30Mta, our capacity has tripled to 51.6Mta and we export cement from five countries across Africa.”