Bank Saint-Petersburg’s transition to IFRS-based dividend payout
On November 29, 2018, the Supervisory Board of Bank Saint Petersburg approved a new Dividend Policy. The document establishes the Bank's intention to maintain dividend payout ratio not less than 20% of the Bank's IFRS net profit (according to audited consolidated financial statements, conditional on the availability of equity). For the last four years the Bank has paid out 20% of its RAS net profit as dividend, pursuant to the previous version of the Dividend Policy.
Transition to IFRS-based dividend payouts is a part of the Capitalization Growth Action Plan approved by the Bank’s Supervisory Board in October 2018. As the Bank has previously announced, the Action Plan implies also the consideration of the share buyback at least twice a year depending on the share price and availability of excessive equity. The Bank confirms its intention to cancel the acquired shares.
Mr. Alexander Savelyev, Chairman of the Management Board, commented:
“Our decision to approve the new Dividend Policy and to perform a transition to IFRS-based dividend payouts complies with the best market practices and increases the attractiveness of the Bank’s shares. At the same time it is a sign of gratitude to our investors, which significantly enhances dividend yield and opens a new page in our relations with the market".
The Supervisory Board also reviewed 9M 2018 IFRS Financial Results, 9M 2018 Risk Management Report as well as a report on the implementation of the Information Policy in 2018.