State-run Land Bank of the Philippines said Sunday the reported cash pay-out to minority shareholders of the former United Coconut Planters Bank is not a payment for dividends but the cash-out price for their remaining shares in UCPB.
LandBank earlier issued a “Notice for the Minority Shareholders of United Coconut Planters Bank” that the amount of P0.337 per share would be paid to the minority shareholders of UCPB representing the cash-out price for their remaining shares in UCPB. The bank clarified that this is not a cash dividend.
It said that when the merger became effective on March 1, 2022, all issued and outstanding shares of UCPB not in the name of LandBank and the Republic of the Philippines were effectively cancelled and terminated. “In exchange, these shares are entitled to the cash-out price of P0.337 per share as a pay-out of their shareholdings in UCPB, and not a dividend pay-out,” LandBank said.