Orange to Use Tax-Related Cash Gain to Boost Growth, Mulls Extraordinary Dividend
December 03 2020 - 1:56AM
Dow Jones News
By Olivia Bugault
Orange said late Wednesday that it intends to use the roughly
2.2 billion euros ($2.67 billion) that it has received following
the resolution of a tax dispute to strengthen its development and
for a potential extraordinary dividend.
The French telecommunications company said its board met on Dec.
2 to discuss the allocation of the funds. The board is favorable to
the use of nearly a quarter of the amount to boost Orange's network
position in France and internationally, while another quarter of
the received amount would support the company's operational
transformation. Orange announced a conditional public takeover
offer for shares it doesn't yet own in Orange Belgium and intends
to use part of the funds to finance it.
The board of directors also "favorably considered" the possible
distribution of an extraordinary dividend of EUR0.20 per share.
"The final decision will be made at the board of directors meeting
held to approve the 2020 accounts and will then be submitted to the
shareholders' meeting for approval," Orange said.
Write to Olivia Bugault at olivia.bugault@wsj.com
(END) Dow Jones Newswires
December 03, 2020 01:41 ET (06:41 GMT)
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