Catalist-listed Winking Studios announced, on Oct 25, that it intends to adopt a "conservative" annual dividend policy that will pay out approximately 5% to 15% of its annual distributable profits.
The policy will take effect only upon the company’s proposed dual listing on the AIM Market of the London Stock Exchange (LSE). The admission is expected to take place before Dec 31 this year.
According to Winking Studios, the proposed policy comes as it seeks to create long-term value and returns for its shareholders.
“In establishing the group's proposed dividend policy, the board aims to maximise total shareholder return, which it feels can be achieved in the short to medium term through primarily focusing on business growth,” says Winking in its statement dated Oct 25.
“The board therefore expects that the majority of the group's earnings will be applied towards the further growth of the business both organically and through acquisitions,” it adds.
The quantum and payment of future dividends will remain at the board’s discretion and are subject to applicable laws, rules and regulations.
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The dividend policy may be updated, amended, modified or cancelled at any time, subject to a review by the board, says the company.
As at 12.23pm, shares in Winking Studios are trading 1 cent lower or 3.33% down at 29 cents.
