Randgold CEO Mark Bristow is the designate president and CEO of Barrick Gold.
Canadian gold major Barrick Gold is rewarding its shareholders with a larger full-year dividend, in line with a previous commitment to boost its payouts as a sweetener for its $6.1-billion merger with Africa-focused Randgold Resources.
The company has declared a fourth quarter dividend of $0.07 a share, making good on a promise to increase its full-year dividend by 25% to $0.16 a share.
Ahead of the November shareholder votes on the merger, Barrick and Randgold announced that they would boost their dividend payouts.
Randgold has recommended an interim dividend payment of $2.69 a share, instead of a previously announced $2 a share.
The Randgold dividend will be paid on January 11, and will be its last as the company is to be absorbed by Barrick.
On Monday, the Royal Court of Jersey sanctioned the scheme of arrangement, which will give effect to the merger of the gold producers. Trading in Randgold on the LSE and Nasdaq will cease on December 31, and the combined group’s shares will start trading on the NYSE and TSX on January 2, under the Barrick name.
Randgold’s Nasdaq trading ticker ‘GOLD’ will be transferred to Barrick on the NYSE. Barrick will continue to trade on the TSX under its existing ‘ABX’ ticker.
The court’s approval was the last major milestone that the merger had to pass.
Barrick’s dividend will be paid on January 14.
Incoming CFO Graham Shuttleworth said last month that Barrick intended to grow future dividends, noting that it was an important objective of the new group.