17th Apr 2007 17:13
FBD Holdings PLC17 April 2007 PUBLIC ANNOUNCEMENT FBD HOLDINGS PLC ("FBD" OR "THE GROUP") DISTRIBUTION OF €177 MILLION At a Meeting on 16th April 2007, the Board of FBD Holdings plc decided todistribute €177m of the Company's financial reserves to shareholders. It is intended to make the distribution on 27th June 2007 to shareholders on theregister on 8th June 2007. The precise mode of distribution will be advised to shareholders in due course,further to an Extraordinary General Meeting of the Company which is scheduled tofollow the AGM on 22nd May 2007. (Notice of these Meetings will issue incoming days). Inter alia, a special resolution to allow flexibility in themethod of distribution in the future will be recommended by the Board to theMeeting for approval, as a possible alternative to distribution via a specialdividend. Following the Meeting's decision on this resolution, the Board willdetermine the mode of distribution. The Board also decided at its Meeting on 16th April that, subject to theforthcoming Annual General Meeting's renewal of the authorisation for theCompany to undertake market purchases of its own shares, (not exceeding 10% ofthe issued shares in aggregate), the Company may undertake market purchases ifsuch purchases are deemed to be in the best interests of shareholders. Commenting on the Board's decision, Mr. Michael Berkery, Chairman said: "The successful development of the FBD Group has generated significant cash,particularly in recent years. The Company has been proactive in its managementof capital and has repatriated €265m. to shareholders since March 2005. Theremaining capital not required in our businesses has been prudently investedwhile the potential to deploy it to pursue development opportunities in the coreunderwriting business or related financial services businesses was beinginvestigated. Following its assessment of the Group's capital requirements in the context ofits ambitious growth plans, the Board has determined that €177m. of capital willnot be required to pursue those plans and has decided to distribute it toshareholders. This is further evidence of the Group's disciplined capitalmanagement and will enhance the return on equity for shareholders" ENDS 17th April 2007 For Reference Telephone FBD Philip Fitzsimons, Chief Executive 01 4093200 Andrew Langford, Finance Director 01 4093200 Murray Consultants Joe Murray 01 4980300 This announcement has been issued through the Companies Announcement Service of The Irish Stock Exchange. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
FBH.L