Equals Group proposes capital reduction to create distributable reserves of £25M
Equals Group plc (LON:EQLS), a fintech payments group will be posting to shareholders a circular regarding the proposed reduction of the Company’s Share Premium Account in the amount of £25,000,000.00 to £31,648,823.20.
The Circular contains a notice of general meeting of the Company’s shareholders, which is to be held at the offices of Buchanan Communications Ltd, 107 Cheapside, London EC2V 6DN on 3 October 2023 at 11.30 a.m. at which a special resolution will be proposed to approve the Capital Reduction.
The Capital Reduction is conditional upon the passing by the Company’s shareholders of the special resolution set out in the Notice of General Meeting, as well as the subsequent confirmation by the High Court of the cancellation.
If it becomes effective, the Capital Reduction would create additional distributable reserves to the value of around £25,000,000, which may be used by the Company to deliver returns to shareholders in the future, whether in the form of dividends, distributions or purchases of the Company’s own shares. The Capital Reduction is expected to be completed by mid Q4-2023.
The Board intends conditional, inter alia, upon the completion of the proposed capital reduction, to pay a maiden dividend of 1.5 pence per share in respect of the financial year 2023.