Nomad Royalty Company Ltd (TSE:NSR) (OTCQX:NSRXF), which began trading on the Toronto Stock Exchange in May, has notched up another milestone as it outlined its dividend policy on Wednesday and declared a first quarterly payment.
A quarterly dividend of C$0.005 per share will be payable on October 15 this year to Nomad shareholders of record as of the close of business on September 30. The board has adopted an annual dividend policy of C$0.02 per share, to be paid quarterly.
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"The implementation of our dividend policy marks an important milestone for Nomad. As part of its long-term strategy, Nomad is firmly committed to returning capital to shareholders through a regular dividend in order to generate lasting, reliable and consistent returns for its shareholders," the gold and silver royalty firm said in a statement.
"The annual dividend of C$0.02 per common share represents a 2.2% yield for investors who participated in our initial financing only a few months ago, and represents, based on our last closing price of C$1.30 on the Toronto Stock Exchange, a significant yield of 1.5%, which will position Nomad as a leading dividend payer in our sector", added Joseph de la Plante, Nomad's chief investment officer (CIO).
For shareholders in the USA, the dividend be paid in US dollars based on the daily exchange rate published by the Bank of Canada on September 30, 2020. Nomad has designated the dividend as an "eligible dividend" under the Income Tax Act (Canada).
Nomad already boasts a portfolio of 11 royalty, stream, and gold loan assets, of which five are on currently producing mines.
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