New Zealand's Auckland International Airport (AIA) said on Wednesday it has revised its dividend policy and will now pay its shareholders only 70% to 90% of underlying net profit after tax, pushing shares down as much as 3.6% to their lowest in nearly five months.

The revision is a downgrade from the company's previous policy to pay 100% of underlying net profit after tax, making shares the top loser on the local bourse.

Shareholders have not received dividends from the company since AIA scrapped the interim dividend in March 2020 to tide itself over the effects of the pandemic which had battered the airline and tourism industries.

The revised policy comes after the Auckland Council voted on Friday to sell 7% of its 18.09% stake in Auckland Airport, New Zealand's biggest, as part of a plan to reduce the local government body's debt.

Under special circumstances, directors may consider the payment of ordinary dividends above or below the given range, AIA added.

Earlier in February, the airport operator said it would be reviewing its dividend policy later in the 2023 financial year, with dividends expected to resume in October 2023.

(Reporting by Ayushman Ojha; editing by Jonathan Oatis and Krishna Chandra Eluri)