UIL to Go Private Following Share Redemption in 2028

On 8 October 2024, UIL Limited (UIL) announced its intention to take the company private. This decision follows the planned redemption of the 2028 zero dividend preference (ZDP) shares. Despite holding a range of potentially promising investments, UIL has faced recent disappointing performances, which have impacted its ability to maintain a sufficiently diversified portfolio.

The board identified issues such as a limited free float and insufficient liquidity in ordinary shares, alongside an out-of-favor investment mandate among investors. Consequently, UIL will cancel its stock exchange listings after the 2028 ZDP shares' redemption. Until then, and barring unforeseen circumstances, an annual dividend of 8.0p per share will continue while UIL remains listed.