Shares of Converge closed higher by 4.18 percent to P16.94 each after gaining as much as 6.2 percent earlier in the session.
Notably, the nationwide broadband provider founded by internet tycoons Dennis Anthony Uy and Maria Grace Uy is trading above its initial public offering price of P16.80 per share.
On Wednesday, Converge declared a P1.31-billion special cash dividend (P0.18 per share) for shareholders as of Sept. 24, 2024, with the payment date set for Oct. 10. This was ahead of its target to start paying dividends in 2025.
Converge also announced its first dividend policy, targeting a 25- to 30- percent payout ratio based on its latest net income.
Management’s view
“We are really thankful to all shareholders who have believed in our mission to provide world-class connectivity services to the Filipino people,” said Converge CEO and co-founder Dennis Anthony Uy.
“We are committed to ensuring that we deliver value to our shareholders as we continue to improve our performance,” he added.
Converge is aiming further growth
"With the continued strength of the earnings growth and operating cash flow generation at Converge, we remain well positioned to support the dividend policy going forward,” said president and co-founder Maria Grace Uy.
“The approval of this dividend policy reflects the company’s commitment to delivering value to shareholders while investing in the continued growth of the business,” she added.
Miguel R. Camus has been a reporter covering various domestic business topics since 2009.
