Borouge shareholders approve multimillion dollar dividend

Image credit: WAM

Borouge, the joint venture between ADNOC and Austrian chemicals producer Borealis, and one of the oldest petrochemical companies in the UAE, has announced a multimillion dollar dividend, as per state news agency WAM.

This follows its financial performance for the first half of 2023. Borouge announced revenues of $2.8bn (Dhs10.3bn) and adjusted EBITDA of $978m (Dhs3.6bn).

#Borouge CEO Hazeem Sultan Al Suwaidi reinforces our commitment to delivering sustainable shareholder returns on the side-line of Borouge’s General Assembly meeting. pic.twitter.com/bmXitfrwf1

— Borouge (@Borouge) August 31, 2023

Borouge approves dividend payout

In its recently held General Assembly meeting, Borouge shareholders voted to approve an interim dividend of $650m (Dhs2.38bn) for the first half of 2023. This breaks down to 7.9 fils per share.

Hazeem Sultan Al Suwaidi, chief executive officer of Borouge, said, “We are delighted to announce the shareholders’ approval of the interim dividend amounting to $650m, reiterating our commitment to paying $1.3bn in dividends for 2023 while continuing to deliver exceptional returns to our shareholders through our innovative and differentiated solutions.”

During the General Assembly meeting, Borouge shareholders voted to approve an interim dividend of AED2.38 billion for the first half of 2023, equivalent to 7.9 fils per share, underscoring the Company’s commitment to delivering sustainable shareholder returns.

— Borouge (@Borouge) August 31, 2023

The interim dividend will be paid to shareholders who hold Borouge shares as of September 7. This represents the first part of the expected total FY 2023 dividend of $1.3bn (Dhs4bn), equivalent to 15.8 fils per share.

The company in its statement said “the dividend payment aligns with our strategic objective of delivering exceptional shareholder returns. Borouge continues to future-proof the company by unlocking new opportunities, optimising efficiency, driving growth, and delivering competitive dividends”.

Tracking ahead of its full-year target of $400m (Dhs1.5bn), the petrochemical firm’s value enhancement programme delivered a material impact of $253m (Dhs929m) through enhanced efficiencies and optimised revenue, significantly and positively contributing to mitigating external market pressures.