The 7,5 billion euro capital increase decided by the Santander board of directors will serve to finance the group's organic growth and reformulate the dividend policy, returning to remunerating shareholders mainly in cash. This is indicated by a note from the Spanish bank, number one in the euro area. "The strengthening of the capital will allow Santander to fully capture the economic growth in the markets where it is present", reads the note which, in the case of the euro area, underlines the favorable economic prospects of Spain, Portugal and Germany.
No mention of Italy and the MPS dossier. In the afternoon, rumors of Santander's interest in Monte Paschi had circulated on the Milan Stock Exchange. In the light of the improvement in the scenario - also indicates Santander - the board of directors has decided that the dividend paid on the 2015 results will be 0,20 euro per share and will be distributed in four payments, three of which will be in cash and one in cash or actions. In subsequent years the payout will be aligned with earnings growth with a target of 30-40% of recurring earnings versus the current 20%.
