Listed marketing firm WPP Scangroup on Monday declared an interim dividend of Sh8 per ordinary share subject to withholding tax following the completion of the company’s sale of its Kantar business in Africa.
According to the company, the dividend will be payable to shareholders by the close of business on July 28, 2020.
“The board of WPP is pleased to announce the declaration and payment of a special interim dividend of Ksh8.00 for every ordinary share of Ksh1.00 held subject to withholding tax where applicable,” Company Secretary Reuben Mwangi disclosed on Monday.
“The dividend declared will be paid within 30 days from the closing date of the register,” he further stated.
The company was hinging payment of dividends on the disposal of some of its Kantar Africa assets which the company managed to see through last week.
The company sold 100% of its stake in Millward Brown East Africa Limited, Millward Brown Nigeria Limited and Millward Brown West Africa Limited.
WPP Scangroup also announced that it had disposed all of its shareholding or 80% of the issued shares in Research and Marketing Group Investment Limited, a Mauritian holding company for Kantar TNS businesses in Kenya, Nigeria, Ivory Coast, Senegal, Ghana, Cameroon and the UK to Kantar Square Two B.V.
According to the company, the transaction was completed on 30 June 2020.
“The Board of WPP Scangroup will decide on the use of proceeds and the dividend to be recommended to shareholders, which the board expects to be at least 40% of the net proceeds, in line with the shareholders circular dated 30 April 2020. An announcement in this regard will be made immediately following the meeting,” the company said in a statement.
“The intent is to pay the special dividend before the end of 2020. This is assuming we deliver to all the conditions precedent and achieving completion of the transaction before the end of June 2020,” Scangroup said in a statement in May.