The Board of Directors has adopted a dividend policy, whereby East Capital Explorer aims to pay dividends to its shareholders consistent with the long-term prospect of the Company. The size of the dividend will, among other things, be related to the size of the Company’ s received dividends and realized return on short-term investments during the preceding year.
The Annual General Meeting on 21 April 2015 resolved to allocate this year's result in accordance with the Board of Directors' proposal, meaning that no dividend will be made to the shareholders and that the loss will be carried forward.
In accordance with the Board’s proposal regarding the redemption program for 2015, the Annual General Meeting on 21 April 2015, resolved on a redemption offer to the shareholders. As a result of the redemption offer up to 5 percent of the outstanding shares in the Company will be redeemed at SEK 83 per share, corresponding to NAV per share of the Company as of 31 December 2014.
The redemption program is voluntary, which gives you as a shareholder flexibility to either realize part of your holding at NAV by exercising your redemption rights to redeem shares or sell your redemption rights and thereby be economically compensated by benefiting from the market value of the redemption rights without reducing your shareholding in East Capital Explorer.
The redemption program has replaced the Company’s dividend policy, which means that the Company’s Board has not proposed any dividend during 2013−2015.
More information about the redemption program can be found under the Investors section.
The Company's Board resolved to adopt a new dividend policy on 21 April 2015 and the dividend in accordance with the new policy will be proposed to the AGM as of 2016. East Capital Explorer intends to pay an annual dividend that will be at least 50 percent of dividends received from its holdings, and targeted to steadily increase over time. In addition, and after consideration of the Company's balance sheet and investment opportunities, the Board may also consider redemption or share buyback programs. The method used will depend on what is assessed to provide the best shareholder value at the given time.