Finally it happens.
I bought Starhub after it lost the English Premier League broadcast rights to SingTel. The steady flow of 20 cents dividends a year or 5 cents a quarter finally comes to an end.
Starhub announced after Friday market close that the company will be paying 4 cents a quarter or 16 cents for financial year 2017.
Starhub was a good dividend master all these year. It is one of my core holdings and accounted for more than 20% in my portfolio in my earlier days.
I have gradually reduced my exposure to Starhub over the years and it is now just above 8% in my portfolio. This 20% dividend cut means about 2% reduction in my dividend harvest. Painful but still tolerable for a 5+% yield.
I am expecting a selldown of Starhub shares when the market opens on Monday. Perhaps I should sell some Starhub too?