Farmer Business Developments plc has today (Wednesday, January 3) announced the payment of an end-2023 special dividend worth €8.6 million to shareholders.
Farmer Business Developments chair Pat Murphy said that the payment is worth 17 cent per share to the company’s 4,050 ordinary shareholders.
“Coming on top of the 9 cent annual dividend paid in June 2023, this brings the total dividends paid in 2023 to 26 cent per share, amounting to a €13 million gross pay-out to ordinary shareholders for the year,” he said.
“For our most common shareholders, who today hold 10,369 shares based on their £50 (€63) original investment in FBD in the late 1960s, the total dividends paid in 2023 were worth €2,696 before dividend withholding tax,” Murphy added.
The board’s decision to pay the special dividend followed the receipt by the company of a special dividend payment from FBD Holdings plc in October.
“On this occasion, the board paid out slightly over 100% of the funds received in order to round up the special dividend to 17 cent per share,” Murphy said.
Farmer Business Developments
Farmer Business Developments plc is an investment holding company owned by Irish farmers whose shareholders founded the FBD group in the late 1960s.
The company has 27.8% of the voting rights in FBD Holdings plc whose main business is FBD Insurance, while also owning 100% of FBD Hotels and Resorts, and a diverse range of other investments including a stake in development land adjacent to the new Berlin airport .
“Our stated position on special dividends is that where the company is in receipt of any exceptional payment, the board will consider the payment of an exceptional dividend to our shareholders, always having regard to the needs of the company at the time of the declaration of any such dividend,” Murphy said.
All ordinary shareholders qualified for the year-end special dividend payment, including the 309 investors who purchased a total of 3.26 million shares in the company’s autumn 2023 share sale at a price of €1.91/share.
The special dividend was paid electronically on December 20, 2023 and by post over Christmas, based on a shareholding record date of November 3, 2023.
Farmer Business Developments plc recorded a profit after tax of €17.93 million for 2022, which was up by over 80% compared to the 2021 figure of €9.89 million.