Could Intertrust lowered the dividend and instead opted for acquisitions and share buyback programs, that would benefit the share price. Lucerne Capital Management believes that it says it has an interest of just under 5 percent in the financial services provider. According to Lucerne, Intertrust is now too cheap in comparison with industry peers.
According to Lucerne, Intertrust is old-fashioned with its fixed dividend. This was introduced by the previous management at the time of the IPO, but has had its time. If Intertrust were to spend 20 percent of the adjusted net profit on dividends, more money would be left over for acquisitions and share buy-backs that support market value. Moreover, it is better to take into account, among other things, the debt position and the free cash flow.
The shareholder also presented his proposal during the shareholders’ meeting.