ITAÚ UNIBANCO - MATERIAL FACT: Payment of interest on capital
SÃO PAULO, June 6, 2024 – Itaú Unibanco's Board of Directors has approved the payment of interest on capital to stockholders at R$0.2510 per share, with a 15% withholding tax, resulting in a net R$0.21335 per share. Corporate stockholders exempt from withholding can receive the full amount. The eligible stockholding position is recorded on June 20, 2024, and shares will trade 'ex-rights' starting June 21, 2024. The payment, combined with the interest declared on March 4, 2024, will be made on August 30, 2024, totaling a net R$0.41888 per share. These amounts are applicable to both common (ITUB3) and preferred (ITUB4) shares.
- Approval of interest payment on capital at R$0.2510 per share.
- Payment schedule set, with a combined payout date of August 30, 2024.
- Net interest per share after withholding tax is R$0.21335.
- Total net amount to be paid is R$0.41888 per share.
- Interest payments apply equally to common (ITUB3) and preferred (ITUB4) shares.
- 15% withholding tax reduces net interest to R$0.21335 per share.
- Stockholders must wait until August 30, 2024, for payment.
Insights
The announcement of interest on capital (IOC) payment by Itaú Unibanco is noteworthy for investors. This payment directly impacts shareholder returns, offering a tangible benefit. The declared amount of
In the financial sector, such declarations often reflect a bank's confidence in its earnings stability and growth potential. For retail investors, the payment schedule, notably the combined payout on August 30, 2024, may offer a strategic opportunity for timing their investments. The ex-rights date of June 21, 2024 is important for investors deciding on new share purchases for eligibility.
It's important to understand that IOC payments in Brazil are treated distinctly from dividends. They are often used to manage tax liabilities since they are tax-deductible for the company. This can be beneficial for both the company and the investors, but the withholding tax rate of
From a broader perspective, the combined total net payment amount of
The market sentiment around this announcement is likely to be positive. The payment of interest on capital can be seen as a commitment to returning value to shareholders, which may bolster investor confidence. This not only impacts the perceived stability of Itaú Unibanco but also its attractiveness as an investment in the financial sector.
The timing of this announcement, coupled with the prior interest declared on March 4, 2024, consolidates investor expectations towards a stable and predictable return policy. This is particularly appealing in a market environment that values consistency, especially in times of economic uncertainty.
Additionally, the information regarding the equal treatment of common (ITUB3) and preferred (ITUB4) shares ensures transparency and fairness, likely maintaining shareholder trust.
Looking forward, this announcement may influence the stock’s liquidity and trading volumes as investors adjust their portfolios to capitalize on the declared payments. Monitoring the stock’s performance around key dates like the ex-rights date and the payout date could provide insights into investor behavior and market trends.
SÃO PAULO, June 6, 2024 /PRNewswire/ -- ITAÚ UNIBANCO HOLDING S.A. informs its stockholders that its Board of Directors has approved, at the meeting held on this date, the payment of interest on capital to stockholders ("IOC") in the amount of
The Board of Directors also approved that the interest on capital declared today and the interest on capital already declared on March 4, 2024 (based on the final stockholding position recorded on March 21, 2024), will be paid together on August 30, 2024, in the total net amount of
For further information, please visit on www.itau.com.br/investor-relations as follows: Menu > Investor Services > Contact IR.
RENATO LULIA JACOB
Group Head of Corporate Strategy, Investor Relations and Corporate Development
Note: The amounts paid per share as interest on capital are the same for common (ITUB3) and preferred (ITUB4) shares.
Contact: Itaú Unibanco – Comunicação Corporativa, (11) 5019-8880 / 8881, imprensa@itau-unibanco.com.br
View original content:https://www.prnewswire.com/news-releases/itau-unibanco--material-fact-payment-of-interest-on-capital-302166656.html
SOURCE Itaú Unibanco Holding S.A.
FAQ
What is the interest on capital approved by Itaú Unibanco on June 6, 2024?
When will Itaú Unibanco's stockholders receive the interest on capital payment?
What is the net amount of interest on capital per share for Itaú Unibanco?
When is the cutoff date to be eligible for Itaú Unibanco's interest on capital?
What are the 'ex-rights' trading dates for Itaú Unibanco's interest on capital?
What is the total net amount of interest on capital to be paid by Itaú Unibanco?
