Star, G8 and SRG latest to defer dividends

Vinson

Star Entertainment Group, G8 Education and SRG Global are the latest companies to defer their payouts to shareholders as they cope with lockdown measures that have devasted their businesses.

G8 Education says it will pay its final dividend in October rather than April, while Star is deferring its payout from April to July.

“As part of its cash management planning, the Board considers this a prudent step to maintain liquidity and protect long-term shareholder value,” G8 Education said.

The company said it had implemented a range of additional health, hygiene and safety practices across its early childhood education centres.

The Star meanwhile said it would defer payment of its interim dividend for three months as it copes with the lockdown measures, which have forced it to close its casinos and stand down 90 per cent of its workforce.

The Star says it will now pay its interim dividend on July 2 rather than April 1, and will not pay a final dividend as it tries to position the company for a post COVID-19 recovery.

Construction engineering company SRG Global meanwhile says it would withdraw its guidance and defer its payout from April to October.

“SRG Global is in a solid financial position with significant available liquidity and headroom in its bank covenants,” SRG said.

“The Company maintains strong relations with its lenders and all bank facilities are not due for review until early FY22.”

SRG said it was continuing to deliver most services in construction, asset services and mining services, except in New Zealand due to a level-four shutdown.

At 1245 AEDT, G8 shares were up 17.9 per cent to 82.5 cents; SGR shares were up 9.8 per cent to $2.24 and Star shares were up 10.5 per cent to $2.255.

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