Abu Dhabi – Mubasher: The shareholders of ADNOC Logistics & Services (ADNOC L&S) approved the final 2023 dividend of $130 million (AED 477 million), equivalent to 6.45 fils per share.
The cash dividend will be paid to shareholders who own ADNOC L&S shares on the record date of 9 May 2024, according to a press release.
The shareholders greenlighted the dividends during the company’s first annual general assembly meeting (AGM) since its initial public offering (IPO) on the Abu Dhabi Securities Exchange (ADX) in June 2023.
In line with the progressive dividend policy, ADNOC L&S aims to increase dividends by a minimum of 5% annually over the medium term, taking the dividend of $260 million (AED 955 million) as a base.
The UAE-based company intends to distribute dividends semi-annually, with the first instalment paid in the fourth quarter (Q4) following first-half results. Meanwhile, the final payment will be during Q2 after H2 results.
Sultan Al Jaber, Chairman of ADNOC L&S, said: “The ADNOC L&S IPO last year was 163 times oversubscribed, making it the most in-demand IPO globally in 2023 at the time of listing and the second-largest IPO in the MENA region in 2023.
“The company also ventured into the Engineering, Procurement and market with a $975 million award to build an artificial island in Lower Zakum field,” Al Jaber mentioned.
He added: “At the time of the IPO, we communicated a transformational growth strategy of $4 to $5 billion investment in organic CAPEX through to 2028.”
ADNOC L&S delivered remarkable financial results in 2023, including a 138% year-on-year (YoY) increase in net profit to $620 million (AED 2.27 billion) and a 41% YoY hike in revenues to $2.75 billion (AED 10.11 billion).
