DBS Announces a Symbolic Dividend Payment – DBS Shareholders Gathered for its 5th Annual General Meeting.

(Eden Island) – The Development Bank of Seychelles (DBS) will pay its first cash dividend of SCR5.40 per share since its maiden dividend in 2002.

DBS held its fifth Annual General Meeting on Tuesday 22^nd June 2019 at the Eden Bleu Hotel on Eden Island which was attended by its shareholders, Board of Directors and members of the Bank’s management. Also, present at the meeting were representatives of DBS’ External Auditors, Baker Tilly. 

Ms. Brenda Bastienne, the Chairperson of the Bank described 2018 as a ‘stellar year’ for the Bank.  She referred to the excellent achievements that the Bank has made since its inception in 1978. In 2018, the Bank had celebrated its ruby anniversary and over the forty years, the Bank has accumulated assets worth over SCR1 billion, financed over 8000 projects worth over SCR2 billion, diversified its loan portfolio, increased its workforce from 8 employees in 1978 to 58 employees as at June 2019 and contributes to different areas of the society through its Corporate Social Responsibility Program.

At the AGM, shareholders were presented with the Annual Report for the Bank which includes the Chairperson’s Report and the Audited Financial Statements for the financial year ending 31^st December 2018. With its full year audited results, the Bank outperformed its forecasted profit by 17% to achieve a profit of SR26.4 million, the highest over the past decade. As part of the Draft Resolutions proposed to shareholders at the AGM, was the declaration of an 8% dividend to shareholders. Ms. Bastienne described the dividend declaration as ‘symbolic’ stating that it is obviously a massive event for the Bank as it sets the trajectory for future growth and a clear message to the market about the positive signs of progress the Bank has made over the years. The shareholders unanimously approved for the payment of dividends at the rate of SCR5.40 per equity shares of the Bank amounting to SCR2.1 million. 

Photo: Shareholders, Board Members & Members of Management of DBS

The meeting was historical for the Bank as this is the first time that it has declared a cash dividend to shareholders. The shareholders welcomed this decision by the Board and Management as it is sending a clear and tangible signal to potential investors. This is particularly crucial for DBS as its two foreign shareholders have already expressed their intentions to exit which was noted by the Government in the Budget Address for the year 2017. It is to be noted that in 2002 the Bank paid a stock dividend to its shareholders.

The Board and Management of DBS also discussed with its shareholders, the Bank’s major challenges and the strategies that the Bank will employ in order to ensure that it remains sustainable and competitive. The shareholders were also briefed on the key areas of focus for the Bank in 2019 which include the modernization of its Head Office Building in Victoria, introduction of new banking software and continued investment in its human capital.  

The Development Bank of Seychelles is incorporated under the Seychelles Development Bank Decree and its shareholders are the Government of Seychelles, Agence Française de Développement, European Investment Bank and Seychelles International Mercantile Banking Corporation Limited (Nouvobanq).