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The Company maintains a dividend policy
that takes into account sustainable levels of
distributions. The Company does not intend
to create reserves that cannot be distributed
to the shareholders, other than those
required by law.
According to the Spanish regime for
REIT’s, the Company will be obligated to
adopt agreements to distribute the profits
obtained in this financial year in the form of
dividends to shareholders, after complying
with any relevant requirement of the Spanish
Corporation Law. The Company will be
obligated to agree its distribution within
six months of the close of each financial
period, in the following manner: (i) at least
50% of the profits derived from the transfer
of real properties, shares, or shareholdings
in qualified affiliates, provided that the
remaining profits are reinvested in other real
estate assets within a maximum period of
three years from the date of transmission
or, if not, 100% of the profits must be
distributed as dividends at the end of this
three year period; (ii) 100% of the profits
obtained by receiving dividends paid by
qualified subsidiaries; (iii) at least 80% of the
rest of the obtained profits. If the dividend
distribution agreement is not adopted within
the legal timeframe, the Company will lose its
REIT status during the financial year to which
the dividends refer.
In accordance with the Prospectus, MERLIN
Properties targets to deliver a dividend yield
of between 4% and 6% over the initial IPO
price.
The Board of Directors of MERLIN Properties
agreed on 14 October 2015, to distribute a
dividend on account of 2015 results for a
gross amount of € 7.75 cents per share.
The Board of Directors of MERLIN Properties
will propose a complimentary dividend on
account of 2015 results, for an amount of
0.569 cents per share, together with a share
premium distribution of € 10.261 cents per
share, both recommendations being subject
to the 2015 General Shareholders Meeting.
In aggregate terms, total remuneration to
shareholders on account of 2015 results is
18.58 cents per share.