CBR
search

New Fortress to pay first dividend September 14

New Fortress Energy Inc. will pay out a third quarter 2020 common stock dividend of US$0.10 per Class A common share this month.

New Fortress Energy will pay US$0.10 per class A common share stock for the just ended quarter.

“We are pleased to announce our first common stock dividend,” said Chairman and CEO of New Fortress, Wes Edens, said last week.

He outlined, “As we stated on our earnings call, one of our strategic goals is to begin paying dividends to our shareholders as our long-term capital structure becomes highly cash flow generative. This dividend is a significant step forward toward our goal to become a world-class investment grade operating company.”

New Fortress Energy, which operates in Jamaica and within the region, is a global energy infrastructure company. The company funds, builds and operates natural gas infrastructure and logistics to deliver fully integrated, turnkey energy solutions.

The Board declared a quarterly dividend of US$0.10 per Class A common share for the third quarter of 2020.

Chairman and CEO of New Fortress, Wes Edens

The dividend is payable on September 14, 2020, to Class A Common Shareholders of record on September 7, 2020.

The NASDAQ-listed company has a market capitalisation of US$4.948B as at Monday September 7, 2020.

The company in this year converted all Class B shares to Class A shares to enhance  liquidity, improve our credit profile and lower cost of capital

For Q2 ended June 30 , 2020, company revenues of US$74.5 million increased by US$20.1 million from Q1 2020 driven by an increase in volumes, partially offset by lower revenue due to maintenance at the Old Harbour Power Plant

The net loss increased US$106.4 million from Q1 2020 was primarily driven by contract cancellation charge for the termination of 2020 cargos.

The company indicates that its new business pipeline is very robust and says it has a progressing Financing and Capital Plan.

Directors stated in the second quarter report, “We received a B+/B1 corporate family rating from Moody’s and S&P which we plan to use as basis for refinancing with targeted savings of US$25mm per year.

“Once we have completed our refinancing, our goal is to begin returning capital to shareholders by considering a quarterly dividend, subject to approval by our Board of Directors.”