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Repsol Plans $1.8 Billion Special Dividend After YPF Payout

Repsol SA (REP), Spain’s largest oil company, plans to pay a 1.3 billion-euro ($1.8 billion) extraordinary dividend after Argentina compensated it for nationalizing YPF SA. (YPF)

The company will propose a 1-euro per share dividend at its next board meeting, and terms won’t be given until directors approve the payout, the Madrid-based oil producer said today in a statement. Repsol in recent years has given investors the option of scrip dividends instead of all cash. The shares rose 39 euro cents, or 1.9 percent, the most since May 8, to close at 20.64 euros in Madrid.

Repsol received and then sold about $5 billion in bonds from Argentina this month in compensation for the 2012 nationalization of a 51 percent stake of YPF. It collected an additional $1.3 billion for the sale, also this month, of the 12 percent it still held in the Argentine producer.

The $6.3 billion from YPF adds to the roughly $7.1 billion held in cash and equivalents at the end of the first quarter. Repsol has said it is seeking to use cash to buy assets.

The Spanish oil producer has about 1.3 billion shares outstanding. Its major shareholders are CaixaBank SA, with 12 percent, Sacyr SA with 9.4 percent, Petroleos Mexicanos, with 9.3 percent, and Temasek Holdings (Private) Ltd., with 6.4 percent, according to data compiled by Bloomberg.

To contact the reporter on this story: Rodrigo Orihuela in Madrid at rorihuela@bloomberg.net

To contact the editors responsible for this story: Kenneth Wong at kwong11@bloomberg.net; Will Kennedy at wkennedy3@bloomberg.net Todd White, Carlos Caminada

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