Abu Dhabi-based Yahsat (Al Yah Satellite) will likely adopt a dividend pay-out proposal which will result in dividends being paid twice-yearly.
The proposal has been adopted by the company’s directors and will be placed before shareholders at an upcoming AGM.
Yahsat, in its statement, said: “Al Yah Satellite Communications Co (Yahsat) listed on the Abu Dhabi Securities Exchange, one of the largest providers of multi-mission satellite communication services in the world, October 9 announced that its Board of Directors approved a proposal from its senior management to update Yahsat’s dividend policy to allow the payment of dividends on a semi-annual basis. The proposal reflects management’s confidence in the financial strength of the business, a positive outlook on cash flow and Yahsat’s ability to fund future investments.”
“The proposed semi-annual dividend policy aligns with Yahsat’s commitment to maximizing shareholders’ returns, while recognizing the growing scale and enhanced financial profile following the Group’s recent deals, and is underpinned by the Group’s robust balance sheet and ability to pay consistent dividends,” the statement continued.
Ali Al Hashemi, CEO/Yahsat, commented: “Yahsat’s excellent visibility on future revenues, its high levels of profitability and cash flow generation present a highly attractive financial profile that underpins our robust and growing dividend capacity. Creating shareholder value is paramount, through a combination of healthy and regular dividend payments while continuing to execute a clearly defined growth strategy. The dividend policy places Yahsat as one of the highest yielding companies listed on ADX at the current share price.”
Yahsat’s fleet of 5 satellites reaches more than 80 per cent of the world’s population, enabling critical communications including broadband, broadcasting, backhauling and mobility solutions.