Investing.com – VTB, the second largest bank in Russia, has announced its intention to pay its first dividend since the onset of the conflict in Ukraine. This announcement had a remarkable effect, causing the bank’s shares to surge by 25% on the Moscow Stock Exchange.
In a move that caught many by surprise, VTB’s board of directors has recommended disbursing 50% of its 2024 profits to its shareholders. This decision was unexpected, given the bank’s previous plans to resume regular dividend payments only by 2026.
Andrei Kostin, the CEO of VTB, explained the rationale behind this decision. He stated, “This will ensure record dividend yields, contribute to the long-term sustainable growth of VTB’s shareholder value, and increase investor confidence in both VTB’s shares and the domestic stock market.” The bank’s impressive financial performance, exceeding the targets set for the previous year, has been cited as a key factor in this decision.
The announcement signifies a significant shift in VTB’s strategy regarding dividend payouts, potentially boosting both investor optimism and the bank’s reputation in the market.
Yorum Yap