Dividend - Exchange rate and Scrip pricing

RNS Number : 8055K

Capital & Regional plc

26 September 2016

 

26 September 2016

Capital & Regional plc

("Capital & Regional" or the "Company" or "Group")

2016 Interim Dividend - Exchange Rate and Scrip Calculation Price

On 18 August 2016, the Directors proposed an interim dividend for the six months ended 30 June 2016 of 1.62 pence per share (the "Dividend") to be paid 100% as a property income distribution ("PID").  The Dividend will be subject to the deduction of 20% UK withholding tax, unless exemptions apply.

As confirmed in the announcement released on 13 September 2016 (the "Declaration Announcement"), the Directors are offering a scrip alternative to the Dividend, further details of which are contained in the Scrip Dividend Rules available from http://capreg.com/investor-info/scrip/ and from the Company's Registrars. Capitalised terms used in this announcement will be the same meaning as defined in the Scrip Dividend Rules.

The salient dates for payment of the Dividend published in the Declaration Announcement remain unchanged with the dividend being paid on 27 October 2016.  Transfers of shares between the UK and South African share registers may not take place between 26 September 2016 and 30 September 2016, both dates inclusive.  The tax implications of the Dividend for shareholders who hold their shares on the Company's South Africa register ("JSE shareholders") are set out in the Declaration Announcement.

(i) Shareholders receiving the dividend in cash:

JSE shareholders are advised that the exchange rate for the dividend will be 17.73 ZAR to 1 GBP (the "Exchange Rate"), resulting in a gross local dividend amount of 28.72260 ZAR cents per share.  Accordingly, shareholders who do not elect to receive New Ordinary Shares pursuant to the Scrip Dividend Scheme will be paid a cash dividend per share as follows:

	Shareholders on the UK share register	Shareholders on the SA share register
PID element (gross)	1.62 pence	28.72260 ZAR cents
*Less 20% withholding tax	0.324 pence	5.74452 ZAR cents
PID element (net)	1.296 pence	22.97808 ZAR cents

* Certain categories of UK shareholders may apply for exemption, in which case the PID element will be paid gross.

(ii) Shareholders who elect to take shares:

The Scrip Calculation Price for shareholders who hold their shares on the Company's UK share register ("LSE shareholders") is 61.58 pence, being the average of the middle market quotations of an Ordinary Share derived from the Daily Official List of the LSE for the last five dealing days ending on 23 September 2016, less the gross amount of Dividend per share. The Scrip Calculation Price for JSE shareholders is 1,091.81340 ZAR cents, being the Scrip Calculation Price for LSE shareholders, converted to Rand at the Exchange Rate.

The number of New Ordinary Shares to be allocated to shareholders electing to participate in the Scrip Dividend Scheme will be calculated by dividing the net value of the Dividend otherwise receivable by a Shareholder by the Scrip Calculation Price and rounding down to the nearest whole number. Accordingly, shareholders will receive 2.10458 New Ordinary Shares for every 100 shares held. For LSE shareholders any residual Cash Balance, i.e. the total value of the dividend receivable less the value of the shares allocated, will be rolled forward and factored into the Scrip calculation for the next relevant Dividend.  For JSE shareholders, any residual Cash Balance will be paid in cash.

By way of illustration, a shareholder who holds 1,000 shares and whose dividend payment is subject to 20% withholding tax, and who elects to receive New Ordinary Shares pursuant to the Scrip Dividend Scheme, will receive a number of New Ordinary Shares calculated as follows:

	LSE Shareholders	JSE Shareholders
Net amount of PID dividend entitled to receive (per (i) above x 1,000):	£12.96	229.78080 ZAR
Scrip Calculation Price	£0.6158	10.91813 ZAR
Calculated number of new shares to which shareholder is entitled	21.04579	21.04579
Actual number of new shares received	21	21
Cash Balance* (multiply fractional entitlement of 0.04579 shares by Scrip Calculation Price)	£0.03	0.49994 ZAR

* For JSE shareholders to be paid a Cash Balance, the Cash Balance has been determined with reference to the net (after taking withholding tax into account) PID dividend to which a shareholder is entitled.

- ENDS -

For further information:

Capital & Regional:	Tel:  [phone]
Hugh Scott-Barrett, Chief Executive
Charles Staveley, Group Finance Director
FTI Consulting:	Tel: [phone]
Richard Sunderland Claire Turvey [e-mail]

Notes to editors:

About Capital & Regional plc

Capital & Regional is a UK focused specialist property REIT with a strong track record of delivering value enhancing retail and leisure asset management opportunities across a c. £1 billion portfolio of in-town dominant community shopping centres.  Capital & Regional is listed on the main market of the London Stock Exchange and has a secondary listing on the Johannesburg Stock Exchange.   

Capital & Regional owns seven shopping centres in Blackburn, Camberley, Hemel Hempstead, Luton, Maidstone, Walthamstow and Wood Green. It also has a 20% joint venture interest in the Kingfisher Centre in Redditch and a 50% joint venture in the Buttermarket Centre, Ipswich.  Capital & Regional manages these assets, which comprise over 950 retail units and attract over 1.7 million shopping visits each week, through its in-house expert property and asset management platform.

For further information see www.capreg.com.

 

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