8-K

CRH PUBLIC LTD CO 8-K Report (Sep 24, 2004)

Filed September 24, 2004For Securities:CRH

Summary

CRH Public Limited Company (CRH) filed a Form 6-K on September 24, 2004, to report on its interim dividend scrip documentation. This filing primarily details an offer to shareholders allowing them to receive new CRH shares instead of a cash dividend for the interim dividend payable on November 5, 2004. The interim dividend is set at 9.60 cent per share. Investors are informed about the mechanics of the scrip dividend offer, including the price at which new shares will be issued (€19.34), the ratio for acquiring new shares based on existing holdings (varying depending on dividend withholding tax), and the opportunity to increase their shareholding without incurring dealing costs or stamp duty. The document also outlines the timetable for the offer, the process for shareholders to elect or opt-out, and the implications for those who have recently sold shares. This offer is a mechanism for CRH to retain cash within the company while providing shareholders with a tax-efficient way to reinvest in the company.

Key Highlights

  • 1CRH is offering a scrip dividend option for its interim dividend of 9.60 cent per share, payable on November 5, 2004.
  • 2Shareholders can elect to receive new CRH Ordinary Shares instead of cash, with new shares priced at €19.34.
  • 3The scrip dividend allows shareholders to increase their stake in CRH without incurring dealing costs or stamp duty.
  • 4The offer is structured with different share entitlement ratios depending on whether dividend withholding tax applies.
  • 5Shareholders must act by October 21, 2004, to return election forms or revoke mandates.
  • 6New shares issued will rank pari passu with existing ordinary shares and will be entitled to future dividends.
  • 7The potential issuance of up to 2,632,364 new shares represents a modest increase (0.50%) in the company's issued share capital if all shareholders opt for the scrip dividend.

Frequently Asked Questions

The primary purpose of this Form 6-K filing is to officially notify the SEC and CRH's shareholders about the company's scrip dividend offer for its 2004 interim dividend. It provides the details and documentation related to shareholders' options to receive new shares instead of cash.

Shareholders entitled to the interim dividend can choose to receive new CRH Ordinary Shares instead of cash. The number of new shares received is determined by the dividend amount, the share price set for the offer (€19.34), and the number of shares held, with specific ratios factoring in dividend withholding tax. This allows shareholders to increase their investment in CRH without direct transaction costs.

The record date for the dividend was September 10, 2004. Shareholders must submit their election forms or notices of revocation by 12 noon on October 21, 2004. The dividend payment and the issuance of new shares are scheduled for November 5, 2004, with dealings in the new shares expected to commence on the same date.

If you do not take any action and do not return the Election and Mandate Form, you will automatically receive your interim dividend in cash on November 5, 2004. If you have previously 'mandated' to receive scrip dividends and wish to receive cash for this interim dividend, you must actively revoke your mandate in writing.