Kenon sells part of Zim stake, plans $552m dividend
Kenon Holdings (TASE: KEN NYSE: KEN), managed by Idan Ofer, is stocking up on money and designs a dividend distribution of $552 million as a result of a cash reduction (topic to acceptance by the shareholders and by the court docket). Ofer, who retains 60.3% of Kenon, will get $333 million. Ofer received a $114 million slice of the $189 million dividend that Kenon distributed in January this 12 months.

Kenon described a web earnings attributable to shareholders of $930 million for 2021. This follows a $507 million earnings for 2020. In its 2021 money statements, Kenon documented that in March it sold 6 million shares in Zim Integrated Shipping and delivery Services Ltd. for $463 million.




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The sale reduced Kenon’s holding in Zim from 25.7% to 20.7%. Many thanks to the sale, Kenon experienced $504 million dollars at the end of March 2022, but this week that amount of money will rise to $982 million, even though the firm is free of charge of personal debt. The reason is a $2.04 billion dividend that Zim will distribute on April 4, of which Kenon’s share is $503 million, or $478 million publish tax.

As pointed out, Kenon programs to exploit its gathered funds to distribute a dividend of $10.25 for every share ($552 million) by a money reduction. The firm will inquire its shareholders to approve the go at the once-a-year shareholders meeting on May perhaps 19, and at the identical time it will use for acceptance to the Superior Court docket in Singapore, where by it is registered.

Apart from its remaining 20.7% stake in Zim, worth some $1.83 million, Kenon retains 58.8% of ability generator OPC Vitality, really worth NIS 4.33 billion ($1.36 billion), and 12% of Chinese car maker Qoros Automotive. In April 2021, Kenon agreed a sale of its Qoros stake to Chinese business Baoneng Team for $245 million, but Baoneng has failed to make the required payments below the sale arrangement.

Kenon suggests that in the fourth quarter of 2021 it instituted arbitration proceedings versus Baoneng Team right before the China Global Economic and Trade Arbitration Fee. The proceedings continue.

At the near of trading in New York on Friday, Kenon Holdings experienced a sector cap of $3.58 billion. Over the past two years, investment in Kenon shares has yielded a return of 383%, adjusted for dividends.

Printed by Globes, Israel business information – en.globes.co.il – on April 3, 2022.

© Copyright of Globes Publisher Itonut (1983) Ltd., 2022.