Lloyds chief expects shareholders to receive dividends by 2015

5 August 2013

Lloyds Banking Group chief executive Antonio Horta-Osorio has stated he expects to see as much as 70 per cent of the institution's earnings returned to shareholders by 2015.

Mr Horta-Osorio revealed the dividend target during the recent shareholder roadshows, which were put in place to attract investment before the UK government moves to sell its 39 per cent stake in the bank, the Financial Times reports.

Lloyds shareholders have not received a dividend from the bank since its attempted rescue of rival HBOS in 2008.

The government funded the firm with taxpayer money after it was hit during the financial crisis. The company is now performing relatively well and the state may look to sell its stake soon.

It could sell around a quarter of its stake to institutional investors, such as pension and hedge funds, this week, according to Reuters, although government ministers have said there is no rush to do so.

By Gary Cooper

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