Ivan Glasenberg, the chief executive and largest shareholder of Glencore International, will reap a higher dividend of $173 million (R1.56 billion) this year, even after the commodities trader reported a drop in profit.
Glencore would distribute a final dividend of 10.35 US cents a share on top of its first-half award of 5.4c, the Swiss company said in a statement yesterday. That was 5 percent more than its 2011 payout and reflected “our confidence in our business and the continued ramp-up of our brown-field industrial assets”, it said.
Glencore, which is seeking to complete a takeover of Xstrata by April 16, paid out $1.07bn in dividends last year. The final dividend announced yesterday, totalling $735m, is subject to approval by investors and due to be paid in June. Glasenberg’s 16 percent stake is valued at about $6.3bn.
The former accountant turned coal trader has worked at Glencore since 1984, and became chief executive in 2002.
He received about $163m in dividends for 2011 when the payout was 15c a share. Glasenberg said at the time that he was planning to reinvest the final dividend in company stock. – Bloomberg