Gschäftsbericht 2018

116 | Galenica financial statements 2018 Finance Notes to the consolidated financial statements of the Galenica Group 23. Shareholders’ equity 23.1 Share capital and number of shares Accounting principles When treasury shares in Galenica Ltd. are acquired, they are deducted from shareholders’ equity. Gains and losses from buying and selling treasury shares in Galenica Ltd. are recognised directly in shareholders’ equity. Galenica has fully paid-up share capital of CHF 5,000,000, divided into 50,000,000 publicly listed shares with a par value of CHF 0.10 each, as at the reporting date. All shares have the same capital rights with the exception of the treasury shares which do not generate any dividends. Voting rights and restrictions on voting rights are described in detail in Galenica’s 2018 annual report in the chapter Corporate Governance (unaudited). According to Article 3a) of the Articles of Association, the Board of Directors is authorised to increase the share capital of CHF 5,000,000 by a maximum of CHF 500,000 at any time up to and including 10 March 2019 by issuing not more than 5,000,000 fully paid shares. Number of shares Total shares Galenica Ltd. Treasury shares Outstanding shares Balance as at 31.12.2016 — — — Incorporation of Galenica Ltd. 50,000,000 — 50,000,000 Transactions with treasury shares — (992,643) (992,643) Balance as at 31.12.2017 50,000,000 (992,643) 49,007,357 Transactions with treasury shares — 169,230 169,230 Balance as at 31.12.2018 50,000,000 (823,413) 49,176,587 The treasury shares are reserved for share-based payments to employees. 23.2 Changes in consolidated shareholder’s equity On 9 May 2018, the Annual General Meeting approved a dividend payment to be made from capital contribution reserves of CHF 81.0 million, corresponding to CHF 1.65 per registered share, for the financial year 2017 (previous year: none). The dividend was paid out to the shareholders on 16 May 2018. In the reporting period, 5,848 treasury shares (previous year: 1,056,971 treasury shares) were bought at an average price of CHF 52.05 (previous year: CHF 39.01) and 175,078 treasury shares (previous year: 64,328 treasury shares) were issued as share-based payments. The expense for share-based payment transactions, allocated over the vesting period, has been recognised in personnel costs and accrued in consolidated shareholders’ equity. The acquisition of non-controlling interests reduced consolidated shareholders’ equity by CHF 0.1 million (previous year: CHF 0.2 million). The Board of Directors will submit a proposal to the Annual General Meeting on 2 May 2019 to pay a dividend of CHF 1.70 per share entitled to receive dividend for the financial year 2018. However, no dividend will be paid on treasury shares. Based on the number of treasury shares as at 31 December 2018, the total dividend would amount to CHF 83.6 million.