VANCOUVER, Oct. 1, 2013 /PRNewswire/ - Sierra Metals Inc. (TSX:SMT)(BVL:SMT) (" Sierra Metals" or the " Company") is pleased to announce its third quarterly cash dividend of approximately CAD$2.5 million, or CAD$0.016 per common share of the Company (each, a " Common Share"), payable on October 31, 2013 to the holders of the issued and outstanding Common Shares as of the close of business on October 21, 2013. The Company is also announcing that it has adopted a dividend reinvestment plan (the " Plan"), effective immediately. Eligible shareholders may elect to participate in the Plan commencing with the third quarterly dividend announced today. Participation in the Plan is optional.
Dividend Reinvestment Plan Highlights
The Plan provides a convenient and cost-effective way for eligible shareholders to acquire additional Common Shares by reinvesting cash dividends paid on their shareholdings. A copy of the Plan is available on the Company's website at www.sierrametals.com and under its profile on SEDAR at www.sedar.com.
Highlights of the Plan include:
- Common Shares issued under the Plan from treasury may be issued at a discount not to exceed 5% of the weighted average market price of the Common Shares over the ten-day period preceding the relevant dividend payment date, as further described in the Plan. The current discount has been set at 5% and shall apply until further notice by press release; and
- Brokerage commissions and administrative costs for the Common Shares issued under the Plan will be borne by the Company rather than shareholders participating in the Plan. However, participating beneficial shareholders may incur fees in respect of services provided by their respective nominees.