Anglo Asian Mining Plc (LON:AAZ) has cleared a regulatory hurdle which will allow the gold, copper and silver miner to start paying a dividend.
At June’s annual general meeting, chief executive Reza Vaziri said the board was considering paying a maiden dividend.
To do this though, it needed to cancel its share premium account to create distributable reserves.
Shareholders agreed to this at the AGM but a court also had to give its approval, which Anglo Asian has now received.
“The capital reduction will enhance the company's ability to pay dividends to shareholders in the future, as the amount standing to the credit of the company's share premium account which has been cancelled, will be transferred to distributable reserves,” read Wednesday morning’s statement.
Anglo shares rose 2.1% to 43.4p in early deals on Wednesday.