Investor Relations

Capital Distributions

Capital Distributions
The Company continues to seek to return value to its shareholders.

The Board of Directors will have the authority to declare dividend payments, based upon the recommendation of the Investment Manager, subject to the approval of the voting shares of TFG and adherence to applicable law, including the satisfaction of a solvency test as required pursuant to the Companies (Guernsey) Law, 2008, as amended.  The Investment Manager’s recommendation with respect to the declaration of dividends (and other capital distributions) may be informed by a variety of considerations, including (i) the expected sustainability of the Company’s cash generation capacity in the short and medium term, (ii) the current and anticipated performance of the Company, (iii) the current and anticipated operating and economic environment and (iv) other potential uses of cash ranging from preservation of the Company’s investments and financial position to other investment opportunities.  TFG has and may continue to also pay scrip dividends currently conducted through an optional dividend reinvestment program.  If the Board of Directors declares a cash dividend payable by TFG, they will also (in their capacity as directors of the Master Fund) declare an equal dividend per share payable concurrently by the Master Fund. TFG has and may also continue to engage in share repurchases in the market from time to time.  Such purchases may at appropriate price levels below NAV represent an attractive use of TFG’s excess cash and an efficient means to return cash to Shareholders.  Any decision to engage in share repurchases will be made by the Investment Manager, upon consideration of relevant factors, and will be subject to, among other things, applicable law and profits at the time.  The Company continues to explore other methods of returning capital to shareholders.

Current Dividend Information

On October 27, 2011, the Board of Tetragon Financial Group Limited (TFG) announced an interim dividend, to be paid in cash or in newly issued non-voting shares in Tetragon Financial Group Limited, of US $0.10 per share in respect of the third quarter of the financial year 2011. The shares went ex-dividend on October 28, 2011. The record date is November 1, 2011. Payment of the interim dividend in cash and/or the delivery of shares in lieu of cash (“Newly Issued Shares”) will take place on November 22, 2011.

Shareholders holding their shares through an admitted institution of Euroclear Nederland (“Admitted Institution”) can elect to receive their interim dividend in shares by informing their bank or broker of their choice between October 27, 2011 and November 10, 2011. If no choice is made, the interim dividend will be paid in cash on November 22, 2011.

The reference price for the Newly Issued Shares is US $6.47, resulting in a conversion ratio of 10 Newly Issued Shares for every 647 dividend rights held.  The reference price is based on the volume-weighted average of the trading prices of a non-voting share of Tetragon Financial Group Limited on Euronext Amsterdam by NYSE Euronext for the five-day trading period (treated as a single period) from October 28, 2011 and November 3, 2011.

Payment will be made through the Admitted Institution where the shareholder’s shares are being held. Tax consequences of receiving the interim dividend may vary upon the tax residence of the shareholder. For further information on the Optional Stock Dividend Plan, please refer to the brochure below

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Kas Bank N.V. Client Support Custody Services (fax +31 20 557 6100) operates as the paying agent for the interim dividend for shareholders holding their shares through an Admitted Institution. Transfer of dividend rights can occur on 642/LM168 NDC 106 in favour of 22.25.15.457. For further information, please contact KAS Bank N.V. Client Support Custody Services at +31-20-5575182.

Shareholders holding their shares in registered form outside of the Euroclear Nederland system should communicate with The Bank of New York in relation to the interim dividend and the Optional Stock Dividend Plan.

Optional Stock Dividend Plan

The company announced the implementation of an Optional Stock Dividend Plan in respect of dividend payments, which gave shareholders the option to elect to receive any declared dividends in the form of additional TFG shares. In the Board's discretion, this may be made available to shareholders for future periods. Please refer to the brochure for more information.

Capital Distributions
Date	Title	PDF
21/12/2011	Tetragon Financial Group Limited Optional Stock Dividend Plan Brochure

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