Chelverton UK Dividend Trust plc: Dividend Policy Clarification (784755)

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 Chelverton UK Dividend Trust plc (SDVP) 
Chelverton UK Dividend Trust plc: Dividend Policy Clarification 
 
06-March-2019 / 16:27 GMT/BST 
Dissemination of a Regulatory Announcement, transmitted by EQS Group. 
The issuer is solely responsible for the content of this announcement. 
 
CHELVERTON UK DIVIDEND TRUST PLC 
 
Dividend Policy Clarification 
 
A key objective of the Company is to pay an annual dividend that is 
increased in real terms each year. 
 
It remains the Board's intention, which has been stated several times over 
the past few years, to move the dividend payment profile to a position where 
the fund pays four equal interim dividends on a quarterly basis through the 
year. This will be achieved in the year ending 30th April 2020 with four 
payments of 2.40p being a total for the year of 9.60p of core dividend. In 
that same year there may or may not be a special dividend, the payment of 
which will be dependent on the level of total dividend revenue received by 
the Company including any Special Dividends. 
 
Since 2013 the Company has also had to pay an annual special dividend, in 
addition to the core interim dividends. This has been done to ensure the 
Company does not retain more than the permissible maximum of 14.99% of 
current period revenue. 
 
After careful consideration, the Board has decided that as retained revenue 
reserves build each year a point will be reached where there are adequate 
revenue reserves to ensure that in the normal course of events future 
dividends can be paid. 
 
It is therefore proposed that once the Company's retained revenue reserves 
are equal to double the historic core dividend, the Company will distribute 
to shareholders all additional current period revenue as a special dividend. 
If the current period revenue is insufficient to meet the proposed core 
dividend target, the Company will use some of the retained revenue reserves 
with the aim of reinstating its policy as soon as is practical. 
 
The Company as at year end of 30th April 2018 had retained revenue reserves 
of GBP2,577,284 or 12.36p per share, which represents some 146% of the current 
historic core annual dividend of 8.46p per Ordinary share. 
 
For further information please contact: 
 
George Bayer 
 
Maitland Administration Services Limited, Corporate Secretary 
 
[phone] 
 
ISIN:          GB0006615826, GB00BZ7MQD81 
Category Code: MSCM 
TIDM:          SDVP 
LEI Code:      213800DAF47EJ2HT4P78 
Sequence No.:  7738 
EQS News ID:   784755 
 
End of Announcement EQS News Service 
 
 

(END) Dow Jones Newswires

March 06, 2019 11:28 ET (16:28 GMT)