Amendment: Dividend Declaration

RNS Number : 0932A

Law Debenture Corp PLC

27 May 2021

 

The Law Debenture Corporation p.l.c.

Amendment:

The Law Debenture Corporation p.l.c. presents an amendment to the announcement of its first interim dividend for 2021 made on 26 May 2021. The amended announcement now includes the ex-dividend, record and payment dates. There have been no other changes to the original announcement.

First Interim Dividend Announcement - Builds on 42 year track record of maintaining or increasing dividends

· Declaring a first interim dividend of 6.875 pence per ordinary share payable in July 2021, representing an increase of 5.8% over the prior year's first interim dividend. 

· It is the Board's intention for each of the first three interim dividends for 2021 to be equivalent to a quarter of Law Debenture's total 2020 dividend of 27.5 pence per ordinary share.

· The Board's current intention is for the total 2021 dividend to be an increase on the total 2020 dividend of 27.5 pence per ordinary share.

As the vaccine rollout continues at pace and economies begin to recover following the easing of restrictions, there is a definite feeling of optimism about the UK dividend outlook. The Board is, however, conscious that the pandemic has had a residual effect on dividends across the market and that they are unlikely to return to the level of 2019 for several years. It is at times like these when the benefits of Law Debenture's unique structure come to the fore. The consistent and diversified income provided by Law Debenture's Independent Professional Services businesses (IPS) gives us a genuine competitive advantage over other equity income trusts.

The combination of IPS' steady income and our strong reserves allows Law Debenture to continue executing its 42 year track record of maintaining or increasing its dividend payments.  

As a result of this, we have declared a first interim dividend of 6.875 pence per ordinary share payable in July 2021; this represents an increase of 5.8% over the prior year's first interim dividend.

At the Corporation's 2022 annual general meeting shareholders will be asked to vote on a final dividend to be paid in April 2022.  It is the Board's current intention to recommend the final 2021 dividend payment such that the total dividend will be an increase on the 2020 dividend of 27.5 pence per ordinary share. 

This dividend will be paid on 7 July 2021 to shareholders on the register at close of business on 4 June 2021. The Corporation's shares will go ex-dividend on 3 June 2021. 

Law Debenture Corporate Services Limited

Corporate Secretary

27 May 2021

Contact:  

Tulchan Communications   

Simon Pilkington, Deborah Roney

[e-mail]

[phone]

 

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