Stimulus dividend tops N$79m

Stimulus Investments Limited has declared an interim dividend of N$79.3 million for holders of its listed preference shares, equivalent to N$17 per share.

The investment holding company said its board had approved the distribution on Wednesday, with payment scheduled for 27 November 2026.

The payout is about 3.5 times the N$22.65 million final preference dividend declared in May for the financial year ended 28 February 2026. The previous distribution amounted to N$4.87 per share.

The latest declaration comes against a backdrop of weaker annual earnings. Stimulus reported a 54.3% decline in profit to N$22.7 million for the year ended February, from N$49.8 million a year earlier. Operating profit fell to N$85.3 million from N$108.9 million.

However, dividend revenue from its investee companies increased by 45% to N$36.4 million, compared with N$25.1 million in the previous financial year.

The company’s investment portfolio recorded a fair-value gain of N$64 million, down from N$97.7 million in 2025. Net assets under management grew by 9%, compared with 12.7% a year earlier.

In May, the company also announced an agreement to sell its 50% stake in Khomas Solar Saver, including related loan claims, to fellow shareholder Sedgeley Solar Management for N$155.7 million. The transaction had received unconditional approval from the Namibia Competition Commission and was expected to become effective on 19 June 2026.

The latest dividend announcement does not specify whether proceeds from the proposed disposal contributed to the distribution.

In its annual results, Stimulus said its final preference dividend represented realised cash returns for the financial year, excluding proceeds from partial disposals of investments in Cymot Group and Walvisbay Stevedoring. Those proceeds were earmarked for reinvestment in existing portfolio companies, subject to the conditions set out in its placing document.

The latest declaration does not provide a breakdown of the cash sources underpinning the N$79.3 million payout.

The last day to trade in the preference shares to qualify for the dividend is Friday, 13 November. The shares will trade ex-dividend from Monday, 16 November, with the record date set for Friday, 20 November.

Payment is scheduled for Friday, 27 November 2026.

Stimulus invests in unlisted businesses, with interests in companies including Cymot Group, Neo Paints Group, Plastic Packaging Group, Polyoak Namibia, Walvisbay Stevedoring and Desert Trade Investments.