Norilsk Nickel Falls Most in Month, Investors Expect Smaller Dividends

Bloomberg reported that the world’s biggest nickel producer, Norilsk Nickel (MCX:GMKN), suffered the biggest drop since November, at 3.3%.

As quoted in the market news:

“The shareholders agreed that Norilsk may distribute at least $9 billion in dividends over three years, three people familiar with the matter, who asked not to be identified because the plan isn’t public, said today. That’s down from an initial projection of more than $10 billion that the three people gave last week. The figure is lower because the final agreement has Roman Abramovich buying stock from shareholders and not treasury stock from the company.

“There is no mention” in the statement of a “dividend policy or dividend payouts, a factor that has driven up Norilsk shares in recent days,” Barry Ehrlich, an analyst at Alfa Bank, said in an e-mailed report.”

Click here to read the full Bloomberg report.