Aroundtown SA Announces Suspension of 2023 Dividend Amid Market Uncertainties

On March 26, 2024, Aroundtown SA disclosed a critical financial decision to suspend its dividend payout for 2023, attributing this move to ongoing market uncertainties. This announcement was made following a board meeting, signaling a strategic shift toward capital preservation in uncertain times.

The Luxembourg-based company, a notable player in the real estate sector, aims to navigate through the challenges posed by an unclear market outlook. These challenges include unpredictable transaction markets, property valuations, and implications on the company’s financial leverage and cost of financing. Aroundtown’s board believes that withholding dividends is a prudent step toward enhancing liquidity and reducing debt amidst these market conditions.

This adjustment in dividend policy reflects the board’s cautious stance on the future, emphasizing the importance of financial stability over shareholder payouts in the current economic climate. Aroundtown remains committed to reassessing its financial strategies in accordance with evolving market dynamics.