Scottish Re Group Will Not Pay Dividend
Scottish Re Group Limited, which has its executive offices in Bermuda, announced yesterday [Mar. 7] it will not to declare and pay a dividend on the April 15, 2012 dividend payment date for its Non-Cumulative Perpetual Preferred Shares, liquidation preference $25 per share and issued a reminder about the previously announced cash tender offer for its Perpetual Preferred Shares.
Although not restricted under the terms of the Perpetual Preferred Shares from declaring and paying a dividend on the upcoming April 15, 2012 dividend payment date, the company’s board determined on March 1, 2012 at a regularly scheduled meeting of the board not to declare and pay a dividend for the April 15, 2012 dividend payment date.
The company has not paid dividends on the Perpetual Preferred Shares since January 2008.
As previously announced, the company commenced on February 10, 2012 a cash tender offer to purchase any and all of its outstanding Perpetual Preferred Shares, other than the Perpetual Preferred Shares that were subject to the Privately Negotiated Transaction as described in the company’s February 10, 2012 press release announcing the commencement of the offer.
The offer, which is being made pursuant to the Offer to Purchase, dated February 10, 2012 and the related Letter of Transmittal, dated February 10, 2012 and which is subject to the terms and conditions set forth therein, seeks the tender by holders of Perpetual Preferred Shares of any or all of their Perpetual Preferred Shares at a purchase price of $16.00 per share.
No dividends or any other amounts will be paid to holders of Perpetual Preferred Shares with respect to the Perpetual Preferred Shares purchased pursuant to the offer.
The offer remains open until March 9, 2012, unless extended by the company as described in the Offer to Purchase.
Cayman-registered Scottish Re is a global life reinsurance specialist, with its principal executive office located in Bermuda. Its primary operating subsidiaries include Scottish Annuity & Life Insurance Company Ltd., Scottish Re Limited and Scottish Re, Inc.
