Shell, BP Hold Lure of Higher Payouts After Brexit Hurts Pound
- Sterling’s slump means U.K. shareholders get more cash
- Dividend boost drives up Shell, BP’s London-listed shares
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The British pound’s slump to a 30-year low is handing a windfall to U.K.-based shareholders of Royal Dutch Shell Plc and BP Plc.
The currency’s decline means the two oil companies are making higher payouts to U.K. investors when they distribute their dollar dividends in pounds. Shell and BP have pledged to prioritize defending their dividends through oil’s biggest downturn in a generation.