7th Dec 2020 12:16
(Alliance News) - Sequoia Economic Infrastructure Income Fund Ltd on Monday said it is on track to deliver on its full-year dividend target after a resilient six months to September 30.
The FTSE 250-listed investor in economic infrastructure debt posted a net asset value per share at September 30 of 100.17 pence per share, up 3.6% from 96.69 pence per share at March 31.
Chair Robert Jennings said: "Amid a very uncertain and testing environment which endured throughout the first six months of our financial year, I am pleased to report that overall our portfolio has shown resilience.
"With vaccine protection expected to be rolled out over the coming months, it seems reasonable to hope that the economic environment in the second half will be less challenging. Our expectation that our target dividend pay-out for the 2020-2021 financial year will be fully cash covered reinforces the board's confidence in our ability to continue delivering on the company's objectives," he added.
Sequoia paid a total of 3.125 pence per share over the period, up 2.0% from 3.0625p a year prior, in line with its full-year dividend target of 6.25p per share.
Going forward, Jennings said: "The improved economic outlook as a result of the imminent roll-out of a vaccine increases the board's confidence that the company will, over the long term, continue to deliver an attractive risk-adjusted return with a relatively low correlation to the broader financial markets."
Sequoia shares were down 0.3% at 107.87p each in London on Monday midday.
By Greg Roxburgh; [email protected]
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