Conditions of the scrip dividend
11 September 2020
Reig Jofre informs that, following the conclusion of the Ordinary and Extraordinary General Shareholders Meeting held on July 23, 2020, the Company’s Board of Directors on September 9, 2020 resolved the conditions for the execution of the capital increase according to the formula approved by the General Shareholders’ Meeting targeted to formalize the remuneration through the scrip dividend or flexible dividend, which allows shareholders to receive bonus shares, if they so wish, but without limiting their possibility to receive an equivalent amount in cash, (total or partial).
- Each shareholder will receive a free allotment right for each of their shares in the Company.
- The free allotment rights will be granted to the Company’s shareholders who are legitimated as such in the accounting records of Iberclear, the Spanish Central Securities Depository, at 23.59 hours on the day of the publication of the announcement of the capital increase execution in the Official Spanish State Gazette (BORME) (scheduled for September 15, 2020).
- Following the allotment of rights, each shareholder shall give instructions to their depositary entity, to:
- Redeem the rights for new shares. In this case, the number of free allotment rights to receive a new share will be 99.
- Receive cash by selling the rights to the Company at a fixed price. In this case, the price at which the Company has committed to purchase the free allotment rights has been determined in a fixed gross amount of 0.039 euros per right, representing a dividend yield of 1%. This option will be available to shareholders for 13 calendar days throughout the term of negotiation of the free allotment rights.
- Receive cash by selling the rights in the market. In this sense, the term of negotiation of the free allotment rights will be 15 calendar days, which, according to the estimated schedule, will take place from September 16 to 30, 2020.
- Combine all or part of the above options.