Barrick, Randgold To Hike Dividend Payments
(Kitco News) - Barrick Gold Corp. (NYSE, TSX: ABX) and Randgold ResourcesLtd. (Nasdaq: GOLD) are offering a Halloween goodie to shareholders - thecompanies Wednesday announced they are planning to increase dividend payments.
In late September, the companies announced an all-stockmerger in which Barrick would acquire Randgold to create the largestgold-mining company in the world. The merger is subject to a number of items,including shareholder approval, with Barrick shareholders scheduled to voteNov. 5 on whether to issue stock in conjunction with the merger.
Under the new dividend plan announced Wednesday, Randgoldshareholders will be entitled to a dividend of $2.69 per share for the 2018financial year, instead of the originally agreed-upon $2, which would havematched the 2017 dividend and was equal to the largest ever paid by Randgold.The increased dividend is expected to be declared and paid prior to closing ofthe merger, Barrick said.
Meanwhile, Barrick said, its shareholders will be entitledto a fourth-quarter dividend of 7 cents per share for an annualized 2018dividend of 16 cents, instead of the originally planned fourth-quarter dividendof 5 cents. Further, Barrick said the company will target an ongoing annualdividend of 16 cents per share, which would be 4-cent increase from the company'scurrent annual dividend of 12 cents.
By Allen SykoraFor Kitco News
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asykora@kitco.com Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication. |