Amid the potential takeover of the company by L&T, Mindtree’s board Wednesday agreed to pay a special dividend to its shareholders, including promoters, that along with regular dividend and tax components would strip the mid-sized IT firm of about Rs 530 crore.<\/p>\n
The company has declared an interim dividend of Rs 3 per share that will be paid before May 10 and also pay Rs 4 a share in final dividend, besides Rs 20 in special dividend — a proposal subject to shareholders’ nod at the firm’s annual general meeting (AGM) in June or July.<\/p>\n
By June or July, Larsen and Toubro (L&T) could hold significant stake in the city-based company.<\/p>\n
Previously, L&T had acquired Cafe Coffee Day owner V G Siddhartha’s 20.32 per cent stake in Mindtree, and placed an order with brokers to pick up another 15 per cent shares from the open market.<\/p>\n
This set off an open offer under which the infrastructure major will acquire an additional 31 per cent stake at Rs 980 a share. The open offer is slated to begin on May 14 and close on May 27.<\/p>\n
When asked if Mindtree anticipated any objection from L&T on its latest move, the Mindtree CEO said they had no idea.<\/p>\n
When the scheduled AGM will take place, all shareholders will get a chance to vote.The CEO said Mindtree policies are user friendly. They have promised to return excess cash back to shareholders, which is what their capital allocation policy says.<\/p>\n
In a statement earlier on April 17, Mindtree said the special dividend has been recommended to celebrate the twin achievements of exceeding $1 billion annual revenue milestone and 20th anniversary of the company.<\/p>\n
He added that Mindtree has delivered exceptional performance for both the fourth quarter and the full fiscal year as they cross the historic $1 billion milestone.<\/p>\n
The mid-sized IT firm on April 17 reported an 8.9 percent growth in consolidated net profit at Rs 198.4 crore for the March 2019 quarter.<\/p>\n
Mindtree’s FY19 net profit grew 32.2 percent to Rs 754.1 crore, while revenue was up 28.5 percent to Rs 7,021.5 crore from the previous fiscal.<\/p>\n","protected":false},"excerpt":{"rendered":"
Amid the potential takeover of the company by L&T, Mindtree’s board Wednesday agreed to pay a special dividend to its shareholders, including promoters, that along with regular dividend and tax components would strip the mid-sized IT firm of about Rs 530 crore. The company has declared an interim dividend of Rs 3 per share that […]<\/p>\n","protected":false},"author":1,"featured_media":4445,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8],"tags":[318,3695,3572],"class_list":["post-4807","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-india-inc","tag-agm","tag-lt","tag-mindtree"],"aioseo_notices":[],"yoast_head":"\n