Hogan Lovells advises DIC Asset AG in relation to its third scrip dividend

The shareholders were given the choice to receive the dividend for the financial year 2019 either in cash only or partly in cash and partly in the form of new shares of DIC Asset AG. With a subscription price at EUR 10.71 for each new share, and a subscription ratio of 21 to 1, the acceptance rate represented around 40.25 percent of the dividend-bearing shares. To create the 1,515,479 new shares, DIC Asset AG increased its share capital by making use of authorized capital. The subscribed share capital thus increased by approx. 1.9 percent.

This transaction structure is clearly of increasing interest to German issuers. Hogan Lovells has now advised DIC Asset AG on the structuring and execution of its scrip dividend for the third consecutive year, having previously advised on the 2018 and 2019 dividends. Hogan Lovells also advised GRENKE AG in 2014 and 2016, Deutsche Wohnen SE in 2018 and DIC Asset AG in 2018 and 2019 on their scrip dividents, as well as Citi, Commerzbank and Deutsche Bank as paying and settlement agents on further scrip dividends.

Hogan Lovells team for DIC Asset AG

Prof. Dr. Michael Schlitt (Partner), Mark Devlin (Counsel), Dr. Susanne Ries (Of Counsel), Dr. Timo Lockemann, Christian Schröder (Associates), Eva-Christina Sommer, Simona Gradišek (Business Lawyers) (all Corporate and Capital Markets, Frankfurt);

Dr. Heiko Gemmel (Partner), Anne-Svenja de Kiff (Senior Associate) (both Tax, Dusseldorf).