Spar to halve dividend for next two years to fund growth in Poland and software upgrade
Decision follows disappointing talks with Irish banks
16 February 2022 - 23:36
Wholesaler Spar is halving dividend payouts for the next two years to fund its expansion effort in Poland, after banks showed little interest in increasing its debt.
The decision on Wednesday came a day after Business Day reported that Spar chair Graham O’Connor told an annual shareholder meeting that Irish banks had shown a lack of appetite for significantly upping its debt ratio. Spar has R8bn in debt, which is well within its 2.75 times net debt to core profit, or earnings before interest, tax and depreciation, covenant with banks...
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