RE:Quarterly Dividend! WATERLOO, ON, Jan. 7, 2016 /CNW/ - Sandvine, (TSX:SVC) a leading provider of intelligent network policy control solutions for fixed and mobile operators, today announced that its Board of Directors has approved the implementation of a quarterly dividend of C$0.0175 per common share (C$0.07 per common share, annualized) to its shareholders. The first quarterly dividend is payable on February 8th, to shareholders of record as of the close of business on January 20th. This is the first dividend to be paid to shareholders in Sandvine's history.
At November 30, 2015, Sandvine had cash and short term investments of approximately $145 million. Fiscal 2015 represented the company's third consecutive year of profitability and positive cash flow from operations. During that time, Sandvine has also funded share buyback programs and an acquisition.
"Sandvine's decision to initiate a quarterly dividend demonstrates confidence in our growth prospects and ability to generate free cash flow," said Dave Caputo, President and CEO of Sandvine. "This dividend program reinforces our commitment to delivering value to our shareholders, while we continue to invest in our growth strategy focused on market leading network policy control solutions for both traditional and virtualized deployment models."
The quarterly dividend of C$0.0175 per common share will be designated as an "eligible dividend" for Canadian income tax purposes pursuant to subsection 89(14) of the Income Tax Act (Canada). Future quarterly dividends, to be approved by Sandvine's Board of Directors, will be designated as an "eligible dividend" for Canadian income tax purposes unless otherwise indicated by Sandvine.