Seplat Energy Plc sets Naira exchange rate at N1,309.88/$ for 2023 dividend

Seplat Energy Plc said it has released the applicable exchange rate used in determining its final and special dividend payout to qualified shareholders who wish to receive their dividends in the naira.

A corporate disclosure by the company, seen by Nairametrics, said the exchange rate would be N1,309.88 per $1.

According to the statement, the exchange rate for the Naira amounts payable is the NAFEM closing rate for April 25, 2024.

The statement reads:

  • “Seplat Energy Plc (“Seplat” or the “Company”), a leading Nigerian independent energy company listed on both the Nigerian Exchange Limited and London Stock Exchange, confirms that the below currency exchange rate is applicable in determining both the final and special dividend for 2023 to shareholders that will receive the dividend payment in Naira (NGN): 
  • The exchange rate for the Naira amounts payable is the NAFEM closing rate for April 25, 2024. Exchange Rate 1 USD = 1,309.88 NGN.” 

Nairametrics reported that the energy firm is set to disburse a total of N46.2 billion for its 2023 final and special dividend, representing a payout ratio of 57%. This allocation aligns with the company’s net income of N81.3 billion for the 2023 fiscal year.

The exchange rate for the 2023 final and special dividend stands at N1309.88/$, mirroring the closing exchange rate in the Nigerian Autonomous Foreign Exchange Market (NAFEM) on April 25, 2024.

In its final dividend announcement for FY 2023, the conglomerate disclosed a final dividend of 3 US cents per share along with a special dividend of 3 US cents per share, totaling 6 cents per share for the financial year 2023. At the designated exchange rate, this corresponds to N78.6 per ordinary share.

With Seplat’s total outstanding shares amounting to 588 million, the company’s final and special dividend payout for FY 2023 approximates N46.2 billion.

What you should know

  • As per the dividend announcement made on February 29, 2024, dividends will be disbursed to shareholders listed in the Shareholders Register as of April 26, 2024.
  • Given Seplat’s dual listing on the Nigerian Exchange Group (NGX) and the London Stock Exchange, dividend payments are typically denominated in US dollars, offering stakeholders the flexibility to choose their preferred currency for payment.
  • Seplat Energy adheres to a consistent quarterly dividend of 3 US cents per share.
  • In FY 2023, the company distributed dividends in April, July, and October, totaling $98.8 million, marking a substantial increase from the $58.8 million disbursed in 2022.
  • Since 2014, Seplat Energy has allocated approximately $575 million in dividends. The company has maintained a track record of annual dividend payments since its initial public offering, except 2017.

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