Note 18: Group equity

Composition of share capital at year-end 2020

In €

Authorized share capital

Subscribed share capital

Priority shares
(48 with nominal value of €400)

19,200

19,200

Cumulative preferred shares
(200 million with nominal value of €0.50)

100,000,000

Common shares
(500 million with nominal value of €0.50)

250,000,000

95,289,921

Total

350,019,200

95,309,121

Composition of share capital at year-end 2021

In €

Authorized share capital

Subscribed share capital

Priority shares
(48 with nominal value of €400)

19,200

19,200

Cumulative preferred shares
(200 million with nominal value of €0.50)

100,000,000

Common shares
(500 million with nominal value of €0.50)

250,000,000

90,804,755

Total

350,019,200

90,823,955

Outstanding common shares

Number of shares

2020

2021

Outstanding at January 1

199,600,331

190,579,841

Issued in connection to performance-related share plan and share-matching plan

310,991

277,517

Capital repayment and share consolidation

Stock dividend

Share buyback

(10,027,257)

(11,992,059)

Shares bought back not yet cancelled

695,776

2,744,210

Outstanding at December 31

190,579,841

181,609,509

Weighted average number of common shares

Number of shares

2020

2021

Weighted average number of common shares

191,424,400

184,959,866

Subscribed share capital

For further details on subscribed share capital, refer to Note F in the Company financial statements.

Cumulative translation reserves

Cumulative translation reserves comprise all foreign exchange differences arising from the translation of the financial statements of foreign operations, as well as from the translation of intercompany loans with a permanent nature and liabilities and derivatives that hedge the net investments in a foreign subsidiary.

Equity-settled transactions

Equity-settled transactions consist of the performance related and restricted share plan and share-matching plan, whereby shares are granted to the Board of Management, Executive Committee, other executives and certain other employee categories. For details on share-based compensation, refer to Note 7.

Dividend

Our dividend policy is to pay a stable to rising dividend. In 2021, an interim dividend of €0.44 (2020: €0.43) per common share was paid. We propose a 2021 final dividend of €1.54 (2020: €1.52) per common share, which would equal a total 2021 dividend of €1.98 (2020: €1.95).

Share buybacks

On October 23, 2019, a €500 million share buyback program was announced, for which 0.4 million common shares were acquired in 2019 and 6.2 million shares in 2020, which have all been cancelled. On October 21, 2020, a €300 million share buyback program was announced which was completed in 2021. On February 16, 2021, a €1 billion share buyback program was announced, which was completed in January 2022. This program started in April 2021. As at December 31, 2021, a total of 8.6 million shares had been acquired under this program, of which 5.9 million were cancelled.

During 2021, 11,992,059 common shares were repurchased, of which 9,247,849 shares (2020: 9,331,481) were cancelled. For further details on weighted average number of shares, refer to Note 10.

Non-controlling interests

None of the non-controlling interests are considered individually material to the group. The effects of all transactions with non-controlling interest shareholders are recorded in equity if there is no change in control.

Non-controlling interests

 

 

 

2020

 

2021

Group entity

Partner at year-end 2021

%

Equity stake in € millions

%

Equity stake in € millions

Akzo Nobel India Limited, Kolkata, India

Privately held, India

25.24

50

25.24

56

PT ICI Paints Indonesia, Jakarta, Indonesia

PT DWI Satrya Utama, Indonesia

45.00

29

45.00

34

Akzo Nobel Paints (Malaysia) Sdn Bhd., Kuala Lumpur, Malaysia

Privately held, Malaysia

40.05

21

40.05

21

Akzo Nobel Kemipol A.S., Izmir, Turkey

Privately held, Turkey

49.00

20

49.00

19

International Paint of Shanghai Co. Ltd, Shanghai, China

Huayi Fine Chemical Co. Ltd, China: China National Shipbuilding Equipment & Materials Corp.

49.00

14

49.00

15

Akzo Nobel Saudi Arabia Ltd, Saudi Arabia

Yousuf Bin Ahmed Kanoo Co. Ltd, Saudi Arabia

40.00

12

40.00

12

International Paint (Korea) Ltd, Busan, South-Korea

Noroo Holdings, South Korea

40.00

16

40.00

11

Akzo Nobel Oman SAOC, Muscat, Oman

Omar Zawawi establishment LLC, Oman

50.00

11

50.00

11

Akzo Nobel UAE Paints L.L.C., United Arab Emirates

Kanoo Group, United Arab Emirates

40.00

8

40.00

8

Akzo Nobel Paints (Guangzhou) Co., Ltd., Guangzhou, China

Industrial Development Co. Ltd of Guanzhou, China

10.00

4

10.00

5

Akzo Nobel Pakistan Limited, Karachi, Pakistan

Privately held, Pakistan

2.99

1

1.97

1

Others

 

 

18

 

18

Total

 

 

204

 

211