BONN (dpa-AFX) - Deutsche Telekom AG (DTEGY.PK), a German telecom major, on Thursday said that its American unit T-Mobile US has announced a shareholder return program of up to $19 billion in the form of dividend as well as share repurchase.
As part of share repurchase, Deutsche Telekom plans to sell a portion of its stake in T-Mobile US in 2024. The company is yet to decide the number shares to be sold under move.
T-Mobile US also intends to pay dividends of around $3.75 billion, to be paid out on a quarterly basis from October 1, 2023, to December 31, 2024.
The first quarterly dividend from T-Mobile US of around $750 million will be paid in the fourth quarter of 2023. In total, Deutsche Telekom expects to receive around $1.8 billion over the next five quarters.
T-Mobile intends to increase the dividend per share by around 10 percent annually.
Deutsche Telekom said: '.Recurring adjusted earnings per share remains key. 40 to 60 percent of this is to be paid out to shareholders, with a minimum dividend of 60 eurocents per share. A return to the comfort zone for the debt corridor - the ratio of net debt to adjusted EBITDA of 2.25 to 2.75 - is expected by the end of 2024.'
Copyright(c) 2023 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2023 AFX News
