Ukrnafta reschedules dividend-promising AGM for Oct. 10

Ukraine’s leading oil producer and gasoline retailer Ukrnafta (UNAF UK) will convene a shareholder meeting on October 10, according to a Sept. 8 statement. The meeting was scheduled by the company’s majority shareholder, state enterprise Naftogaz of Ukraine (NAFTO), and contains an item of dividend distribution from Ukrnafta’s profit from 2011-13.



The aggregated three-year profit of Ukrnafta is UAH 3,800 mln (three-year EPS is UAH 70.1). Ukraine’s Energy Minster reported on July 17 that the government expects to receive about UAH 1.3 bln in dividends from its 50% stake in Ukrnafta this year. This broadly corresponds with UAH 2.57 bln in “undistributed profit” as reported by Ukrnafta as of end-2013.



Ukrnafta already scheduled a dividend-promising AGM for Sept. 11, but on Sept. 3 it reported on its cancellation. As has been noted by the Interfax-Ukrayina news agency, the newly scheduled AGM contains all the same items as the cancelled one, except for one: signing a deal with Naftogaz to sell natural gas for household use in 2006-14.



Alexander Paraschiy: Despite a controlling stake in Ukrnafta belonging to Ukrainian government, its large private shareholders – which are associated with Igor Kolomoisky – have large leverage in the company with about a 42% stake. They can block any shareholder meeting since it requires a 60% quorum, according to legislation. So the government has to agree with Ukrnafta’s private shareholder on all the items of the shareholder meeting, otherwise it will fail.



The exclusion of the one item from the Oct. 10 agenda – without knowing its exact implications – might be exactly the concession from the government to ensure it receives dividends from Ukrnafta. All in all, it seems like the chance that Ukraine’s oil giant will distribute dividends soon looks higher now. If all the “undistributed profit” of Ukrnfata will be “distributed,” its DPS will be UAH 47.46, which corresponds to a dividend yield of 14.6%.

Источник: Конкорд Капитал