MOL Plc. held a successful Annual General Meeting today in Budapest. Shareholders approved the report of the Board of Directors regarding finances for the year 2016 and approved consolidated financial statements. The General Meeting acknowledged the work of the Board of Directors performed during the 2016 business year and granted waiver to the Board of Directors and its members.
The General Meeting has accepted the Board’s proposal for HUF 58 bn dividend payment, which was set to allow the Dividend Per Share (DPS) to grow by 10.2% to HUF 625 from last year’s HUF 567. This represents the continuation of the last years’ gradually increasing trend of the regular dividend payment.
Shareholders also approved the proposal of the Board of Directors for an 8 for 1 stock split. The current price of one MOL share (around HUF 20,000) is multiple of the share prices of other companies of the BSE premium segment. A share split generally increases turnover and liquidity, especially if it occurs at a time when a company is financially and operationally stable. A lower price following the share split makes it easier for small shareholders to access and trade MOL shares. The share split will become effective on 1st of September 2017.
The AGM reelected József Molnár as a member of the Board of Directors and Dr. Attila Chikán and John I. Charody as members of the Supervisory Board. Ilona Dávid, Andrea Bártfai-Mager and Vladimír Kestler were elected as members of the Supervisory Board. Furthermore Ivan Mikloš, Ilona Dávid and Andrea Bártfai-Mager were elected as members to the Audit Committee. The shareholders also approved the election of Piroska Bognár, Dr. Sándor Puskás, Tibor István Ördög and András Tóth to the Supervisory Board as the employee representatives.
Zsolt Hernádi, MOL Group Chairman-CEO, commented on the General Meeting: “We closed today a financially and operationally successful year, when we also created the foundation for the company’s next decades. In 2017 we will continue to deliver on our targets, generating strong cash flows while already making progress on our transformational journey. I thank our shareholders for participating today and supporting the resolutions put forward by the Board of Directors. The continuation of increasing the dividend payments and the decision to split the shares and making them more accessible for small shareholders strengthen MOL as a best-in-class investment story.”