Payment of dividends by joint stock companies

On 12 April 2016, the National Securities and Stock Market Commission by way of its decision No. 391 approved the procedure for payment of dividends by joint stock companies.

Pursuant to the procedure, a joint stock company may pay dividends either directly to its shareholders or through the depositary system of Ukraine. The method for payment is determined by the general meeting of shareholders and is used for the whole issuance of shares.

In particular, dividends are paid directly to the shareholders under the procedure established by the supervisory board of the company within the term of:

• six months following the date of the decision of the general meeting of shareholders on payment of dividends under ordinary shares;
• six months following the end of reporting year under preference shares.

Persons entitled to dividends shall be notified about the date, amount, procedure and term for payment. Payment can be made fully or in parts. Payment of dividends in parts is made simultaneously to all entitled persons on a pro rata basis.