July 30 (Reuters) - Russian's Yandex ( YNDX ) on

Tuesday proposed paying dividends for the first time, a shift

from the technology firm now under new ownership following a

lengthy and complex split from its Nasdaq-listed, Dutch parent

company.

A Russian consortium of buyers this month finalised a $5.4

billion cash and shares deal to acquire Yandex's ( YNDX ) Russia-based

assets from Yandex NV ( YNDX ), marking the largest corporate

exit since Russia's invasion of Ukraine in February 2022, albeit

at a hefty discount.

Yandex ( YNDX ), since its foundation in the late 1990s dotcom boom,

has always prioritised growth over dividends, preferring to

reinvest profits in the company's varied tech services, from

search and advertising, to ride-hailing, e-commerce and cloud.

While reporting a sharp rise in core earnings and

forecasting revenue growth of up to 40% this year, Yandex ( YNDX ) said

it was proposing the board consider a dividend of 80 roubles

($0.9302) per share, to be paid by the end of October, subject

to shareholder approval.

"The (dividend) decision was a surprise to us," Veles

Capital analyst Artem Mykhailin told Reuters, saying that Yandex ( YNDX )

had always argued investors received a return through share

price growth.

"All the money went into development and growth," he said.

"It seems the new shareholders have a slightly different view."

Yandex ( YNDX ) said the decision had taken its financial results,

debt and investment needs into account.

"Everyone wants a sustainable business," a Yandex ( YNDX )

representative said on a conference call, adding that the new

owners want to see development in new markets and products, as

well as a decent return on investment.

"It's logical for us to expect a technological advantage

both in Russia and in terms of global technologies," the

representative said. "That is, Yandex ( YNDX ) has always been building

world-class technology and this approach is not changing."

YNV, the Dutch former parent, is renaming itself Nebius

Group and hopes to become a key player in building the

infrastructure underpinning artificial intelligence, with Yandex ( YNDX )

co-founder and former CEO Arkady Volozh back at the helm.

Nebius retained capital-intensive businesses in AI, data

labelling and self-driving in the split. That has boosted

Yandex's ( YNDX ) cash flow, said Sinara Finance analyst Konstantin

Belov.

"Strategically, I think it would be right for Yandex ( YNDX ) to look

to replace these divisions to support long-term growth," Belov

told Reuters. "At the same time, the new major shareholders may

have their own considerations and interests."

($1 = 86.0000 roubles)