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Abitibi Royalties bumps dividend by 20%

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Image credit: Abitibi Royalties.

(Kitco News) - Abitibi Royalties (TSXV: RZZ) (OTC: ATBYF) announced Monday that the company's board of directors has approved, effective January 2021, a 20% dividend increase to the company's outstanding common shares from CDN$0.15 to CDN$0.18 per common share on an annualized basis (CDN$0.015 per common share on a monthly basis).

This is the second dividend increase announcement in 2020, representing a 50% increase to the company's dividend from Q1-2020.

According to the company’s statement, “Abitibi Royalties is unique among its peers due to its strong treasury, no debt, monthly dividend, share buyback program and limited number of outstanding shares (less than 12.5 million).”

The increased dividend amount will begin in January 2021.

Abitibi Royalties owns various royalties at the Canadian Malartic gold mine near Val-d'Or, Qu├ębec. In addition, the company is building a portfolio of royalties on early stage properties near producing mines and generating mineral projects for option or sale.

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