Romania Asks Proprietatea Fund To Double 2010 Dividend

04.22.2011 By Florentina Dragu

Romania's Finance Ministry requested regional investment fund Fondul Proprietatea pay a gross dividend of 0.03141 lei (around EUR0.0076) a share from 2010 profit, double compared to the initial recommendation made by administrator Franklin Templeton.

Romania's Finance Ministry requested regional investment fund Fondul Proprietatea pay a gross dividend of 0.03141 lei (around EUR0.0076) a share from 2010 profit, double compared to the initial recommendation made by administrator Franklin Templeton.

The ministry owns the largest share in the fund, of 36.79%, therefore will have the larger vote in the shareholders' assembly scheduled for April 27.

Fondul Proprietatea announced last week that one of its stockholders has demanded double dividends from last year profit, but declined to give any names.

If the ministry's proposal is approved, Fondul Proprietatea will pay total dividends worth RON432.7 million (EUR105.7 million), equal to 95% of the 2010 net profit.

Romania would cash some RON160 million.

Fondul Proprietatea was set up in 2005 to compensate Romanians whose properties were seized during communism.

Thursday, Fondul Proprietatea's shares closed down 0.26% at RON0.58. (EUR1=RON4.0906)