Oilfield services group Plexus Holdings PLC (LON:POS) is to pay out a £1mln interim dividend following the sale of its jack-up rig wellhead rental business.
The balance sheet is also being restructured so that it can make additional payments in future.
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Plexus sold the wellhead business to TechnipFMC just over a year ago for £14.2mln upfront and up to £27.6mln in future payments.
The dividend is equivalent to 0.99566p per share.
Reduction of Capital
Plexus will also undertake a court-approved 'Reduction of Capital' by way of the cancellation of its share premium account in order to increase its distributable reserves.
That will give more flexibility to pay dividends or buy back shares in future.
Plexus posted a profit of £8.29mln in the eight months to 28 February with cash holdings of £1.3mln.