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KUALA LUMPUR: Samchem Holdings Bhd, an integrated chemical and lubricants distributor, has proposed to issue new free shares to reward its shareholders.
The entitlement date for proposed 1-for-1 bonus issue will be determined later.
"Creating value for shareholders is one of our priorities and the Proposed Bonus Issue is an alternative avenue for us to reward our shareholders apart from cash dividends," chief executive officer Ng Thin Poh said in a statement today.
The proposed bonus issue is subject to approvals from regulators and its shareholders at an upcoming general meeting.
"We have implemented various business strategies which are expected to contribute positively in 2021 and beyond, as we scale up the value chain by providing additional value-added services to our clients," Ng said.
He added that the company has had an unbroken profit track record since IPO in 2009 which is a "testament of our defensive business.""The next few years will be exciting for Samchem as we work to expand and further strengthen our position as an integrated supply chain distributor” Ng said.