George Town, January 11, 2021 – Endeavour Mining (TSX:EDV) (OTCQX:EDVMF) is pleased to announce that its first dividend will be paid on February 5, 2021 (the “Payment Date”) to shareholders of record at the close of business on January 22, 2021 (the “Record Date”).
Sébastien de Montessus, President and CEO, commented: “The progress we have made across our business over recent years is bearing fruit as we have created a compelling investment proposition which is now augmented through the initiation of our first dividend.
Following a strong performance in Q4-2020, this first dividend payment coincides with Endeavour having achieved its strategic goal of reaching a net cash position by year-end. Our goal now is to quickly build a net cash position of US$250 million, at which point we would be well positioned to enhance our shareholder return program.”
On November 12, 2020, Endeavour announced its first dividend of US$60 million for the 2020 fiscal year. This first dividend equates to US$0.37 per ordinary share and represents a 1.6% yield based on Endeavour’s closing price on November 11, 2020.
Endeavour’s first dividend sets the path to a sustainable dividend policy, based on its capital allocation framework and its strategy of maximizing long term shareholder value. Following the payment of this first dividend, the Board of Directors expects to declare future dividends on a semi-annual basis, with the goal of maintaining a similar dividend yield until it has reached a targeted net cash position of US$250 million. Once that target is reached, the Company would be well positioned to re-assess its capital allocation priorities, which may include augmenting its shareholder return program.
The dividend will be paid to holders of ordinary shares in Canadian Dollars based on the prevailing USD:CAD exchange rate at the time of payment. This dividend does not qualify as an 'eligible dividend' for Canadian income tax purposes. The tax consequences of the dividend will be dependent on the particular circumstances of a shareholder. Shareholders are encouraged to consult with their own tax advisors in this regard.
Martino De Ciccio
VP – Strategy & Investor Relations
+44 203 640 8665
firstname.lastname@example.org Brunswick Group LLP in London