Graphisoft Park to pay HUF 93 per-share dividend
The board of Graphisoft Park, a listed company that owns and operates a business park in the north of the capital, will propose to shareholders payment of a HUF 93 per-share dividend at its annual general meeting on April 26, the AGM agenda shows.
Graphisoft Park registered as a regulated real estate investment pre-company (SZIE) from July 31, 2017, and as a regulated real estate investment company (SZIT) from January 1, 2018. The company form, which is comparable to a real estate investment trust (REIT), is exempt from corporate tax and local business tax but must pay shareholders 90% of its profits as dividend, according to a report from state news agency MTI.
The board noted that the source of the parent companyʼs profit in any given year is dividends paid by its subsidiaries on the previous yearʼs earnings. However, a dividend based on the unitsʼ 2016 profit would be "significantly lower" than the one proposed by the board. The board has thus decided to propose paying about 80% of 2017 consolidated profit from ordinary activities as dividend, in line with Graphisoft Parkʼs earlier practice.
The board will propose payment of a HUF 31 per-share dividend on ʼBʼ series employee shares.
The board will also ask shareholders for a mandate to purchase treasury shares up to 10% of share capital over a period of 18 months.
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