Office Properties Income Trust Reduces Quarterly Dividend From $0.25 To $0.01 Per Share, To Increase Liquidity And Financial Flexibility Going Forward
Portfolio Pulse from Benzinga Newsdesk
Office Properties Income Trust (NASDAQ:OPI) has significantly reduced its quarterly dividend from $0.25 to $0.01 per share to improve liquidity and financial flexibility. The reduction is expected to increase OPI's annual liquidity by approximately $47 million compared to the last quarter and by $105 million compared to Q1 2023. The new dividend rate will be effective for shareholders of record as of January 22, 2024, with distribution around February 15, 2024.
January 11, 2024 | 1:10 pm
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OPI has cut its quarterly dividend from $0.25 to $0.01, aiming to increase liquidity by $47M annually and address future financial needs.
The drastic reduction in dividend is typically seen as a negative signal by investors, indicating potential cash flow issues or a need to conserve cash, which can lead to a decrease in stock price in the short term.
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