(Alliance News) - Mondi PLC on Thursday confirmed it had received RUB80 billion, about USD866.9 million, from the sale of Joint Stock Co Mondi Syktyvkar, its last remaining facility in Russia.
The Weybridge, England-based packaging firm sold Syktyvkar to Sezar Invest LLC in October.
The total sum includes the two remaining instalments in November and December, totalling RUB23 billion in aggregate. The proceeds have all been converted into euros, the company said.
Mondi said it will return the spoils from its Syktyvkar and other businesses in Russia to its shareholders in the form of a special dividend.
Back in June, Mondi Back in July, Mondi sold its three Russian packaging converting operations to Gotek Group for EUR30.4 million.
The net proceeds from the sale of Syktyvkar sold and the three converting operations amount to about EUR775 million.
Mondi said on Thursday the net proceeds will be distributed to its shareholders by way of a special dividend, with an associated share consolidation. This special payout and consolidation require shareholder approval.
"Distributing the net proceeds by way of a special dividend allows for a timely return of cash to Mondi shareholders. The accompanying share consolidation is intended, as far as possible, to maintain the comparability of the Company's share price before and after the special dividend is paid," the group said.
Mondi shares firmed 1.2% to 1,486.50 pence each on Thursday in London, and rose 0.5% to ZAR348.81 in Johannesburg.
By Artwell Dlamini, Alliance News reporter
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Mondi (MNDI)