The Board of Directors of the Europac Group (Papeles y Cartones de Europa, S.A.) has approved the cancellation of 1,947,368 treasury shares for an amount of 3,894,736 euros, which represents a nominal value of two euros per share. The company thus implements the 2% reduction in share capital approved on 28 June by the General Shareholders’ Meeting, which set a 12-month time limit for implementation.
- The cancellation of 1,947,368 treasury shares for an amount of 3,894,736 euros was approved by the General Shareholders’ Meeting held on 28 June.
- This is a supplementary measure within the framework of the shareholder remuneration policy in addition to the distribution of a dividend of 0.318 euros per share charged to 2016 earnings and the bonus issue.
Within the framework of its shareholder remuneration policy, in addition to this cancellation of treasury shares, in February and July the company also paid out a total dividend of 0.318 euros charged to 2016 earnings. The company paid out a total dividend to shareholders of 28.9 million euros, 78.4% up on last year, thus achieving an exceptional pay-out of 60% compared with 50% in each of the last three years.
Finally, the General Shareholders’ Meeting approved a bonus issue charged to unrestricted reserves through the issue of up to 3,894,735 shares with a free allocation of 1 new share for every 25 old shares.
José Miguel Isidro, Chairman of the Europac Group, highlighted that “bearing in mind Europac’s positive financial situation, the General Shareholders’ Meeting approved the cancellation of treasury shares as a remuneration measure in addition to the dividend and the bonus issue. Through Europac’s shareholder remuneration policy, we thus wish to maintain our commitment to create value for the company’s owners”.