Toromont Industries Ltd. this week announced the regular quarterly dividend of CA 16 cents per share on outstanding common shares, payable July 1, to shareholders of record at the close of business on June 10, 2011.
If, as expected, the previously announced spinoff of Enerflex Ltd., Toromont's natural gas compression and processing equipment business, is effected prior to the June 10, record date for the quarterly dividend, Toromont will instead pay this quarterly dividend in an amount of 10 cents per share on its outstanding common shares. In these circumstances, it is expected that the board of directors of Enerflex Ltd. would declare a dividend of 6 cents per share on its outstanding common shares to holders of record on June 10, such that the initial quarterly dividends paid by Toromont and Enerflex Ltd. to their respective shareholders after the spinoff is effected will, in the aggregate, equal 16 cents per share.
Further details in respect of the proposed spinoff, including the dividend policies of Toromont and Enerflex following the spinoff, are included in Toromont's management information circular available at www.toromont.com/spinoff.
Headquartered in Toronto, Toromont Industries Ltd. operates through two business segments: The Equipment Group and the Compression Group. The Equipment Group includes Battlefield Equipment Rentals, one of the larger Caterpillar dealerships by revenue and geographic territory in addition to industry leading rental operations. It is No. 21 on the RER 100.