26 January 2022
LEI: 549300E9W63X1E5A3N24
M&G Credit Income Investment Trust plc
Dividend Declaration
M&G Credit Income Investment Trust plc (the "Company") is pleased to announce an interim dividend of 1.78 pence per Ordinary Share, being the final interim quarterly dividend in respect of the financial year ended 31 December 2021.
This dividend, in combination with the Company's three previous quarterly dividends, represents an annualised rate of LIBOR plus 4% for the financial year ended 31 December 2021, calculated by reference to the opening net asset value as at 1 January 2021, adjusted for the payment of the last dividend in respect of the prior financial year. This is at the level originally targeted by the Company at launch.
As referred to in Part 7 'Taxation' of the Company's Prospectus dated 26 September 2018, the Directors have chosen to apply the 'streaming' regime' to part of the dividend payment and the Company has designated the payment as follows:
Interest Distribution per Ordinary Share: 0.67p
Dividend Distribution per Ordinary Share: 1.11p
Total Dividend per Ordinary Share: 1.78p
The dividend will be paid on 25 February 2022 to ordinary shareholders on the register on 4 February 2022. The ex-dividend date will be 3 February 2022.
The Board believes that it should pay dividends from income and prior capital gains (including accumulated capital gains from previous years). It therefore plans to continue with three, level quarterly interim dividends in respect of each financial year plus a variable, fourth interim dividend to be determined after each year end, which will take into account the net income over the whole financial year including, if appropriate, any capital gains. The first three interim quarterly dividends to be paid in respect of the 2022 financial year will be paid at an annual rate of SONIA (which has now replaced LIBOR) plus 3%, calculated by reference to the opening NAV as at 1 January 2022, as adjusted by the dividend referred to in this announcement.
The Investment Manager believes that an annual total return, and thus ultimately a dividend yield, of SONIA plus 4% will continue to be achievable in the future although there can be no guarantee that this will occur in any individual year.
Enquiries:
M&G Credit Income Investment Trust plc
Helen J Coyne, Link Company Matters Limited, Company Secretary +44 7709 516 048
