Impact of restrictions resulting from the spread of COVID-19 virus on Nordecon AS’s decisions on dividend and share capital reduction payments
Nordecon AS has in the announcement made on 06 February 2020 disclosed inter alia the board’s proposal for the distribution of dividends for the fiscal year of 2019 as well as the Group’s ultimate controlling party’s intention for reducing the share capital in 2020.
Considering the emergency situation declared in Estonia to restrict the fast spread of COVID-19 virus, which will assumingly have a negative impact on the economy and construction sector, the board, having consulted it with the council, proposes not to present the dividend distribution proposal to the 2020 annual general meeting of shareholders. Also, the council has notified the board on its intention not to include the share capital reduction motion in the agenda of the annual general meeting.
As the actual effect of the state emergency situation on the economy, construction sector and Group’s future business results is currently difficult to estimate, Nordecon AS board and council plan to discuss the issue regarding the dividend distribution for the fiscal year of 2019 after disclosing financial results of the third quarter and nine months of 2020.
Nordecon (www.nordecon.com) is a group of construction companies whose core business is construction project management and general contracting in the buildings and infrastructures segment. Geographically the Group operates in Estonia, Sweden, Finland and Ukraine. The parent of the Group is Nordecon AS, a company registered and located in Tallinn, Estonia. The consolidated unaudited revenue of the Group in 2019 was 234 million euros. Currently Nordecon Group employs close to 690 people. Since 18 May 2006 the company's shares have been quoted in the main list of the NASDAQ Tallinn Stock Exchange.
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