Shareholders of Zeder Investments Limited were informed today that the anticipated special dividend payout has been postponed pending regulatory approval. The delay comes as the company awaits the necessary clearance from the South African Reserve Bank.
The announcement, made through the Stock Exchange News Service of the JSE (SENS), serves as an update to the special dividend declaration communicated by Zeder on February 6, 2024. In the initial declaration, Zeder’s board approved a non-recurring special gross dividend of 20.0 cents per share from income reserves.
Regulatory Hurdles Delay Payout
The postponement stems from a crucial condition outlined in the dividend declaration. Zeder Investments had made it clear that the disbursement of the special dividend was contingent upon obtaining approval from the South African Reserve Bank. Despite proactive efforts, this prerequisite has not yet been met.
As a result, the company finds it necessary to revise the expected timetable for the special dividend payout. Shareholders were informed that once the regulatory condition is fulfilled, a revised schedule will be communicated promptly. This updated timetable will include the rescheduled payment date for the special dividend.
Impact on Shareholders
Shareholders eagerly awaiting the special dividend payout will need to exercise patience as the company navigates the regulatory process. The delay underscores the importance of regulatory compliance and highlights the meticulous procedures involved in financial transactions of this nature.
While the postponement may cause temporary disappointment among investors, ensuring adherence to regulatory protocols is paramount. Once all regulatory requirements are met, shareholders can expect to receive further communication from Zeder Investments regarding the revised timeline for the special dividend payout.
