phone Contact

Dividend

The dividend is the share of a stock corporation’s profits that is distributed to its shareholders.

Why to companies pay dividends

Through a dividend, a company allows its owners, the shareholders, to participate in a company’s success. The dividend is the shareholders’ reward for their investment. The amount of the dividend is primarily based on the company’s net retained profits and its business prospects. It is proposed by a stock corporation’s management board and its supervisory board and then resolved by its annual general meeting (AGM). It is expressed either as an amount in euro or as a percentage of the company’s profits. The dividend is paid out by the banks acting on the company’s behalf. The dividend paid before deducting corporation tax is referred to as the gross dividend, as the cash dividend after deducting corporation tax and as the net dividend after deducting withholding tax.

What happens to the stock exchange price after a distribution?

Following an AGM resolution, the stock exchange price is reduced by the amount of the dividend and the first price without the dividend is appended “ex dividend”. The buyers of ex-dividend shares are not entitled to this dividend. The dividend is the same for all the shares of a company of the same class.

Dividend policy at HAMBORNER REIT AG

One of HAMBORNER REIT AG’s goals is to be an attractive investment for shareholders. In this context, it is committed to an attractive and sustainable dividend policy. HAMBORNER REIT AG bases the amount of its dividend on the development of its FFO.


More information on the current Annual General Meeting of HAMBORNER REIT AG can be found here.