Media Chinese Intl proposes 41 sen special dividend (5090)

KUALA LUMPUR: Media Chinese International Ltd (MCIL)
has proposed to reward shareholders with a special dividend of
US$219.78mil (HK$1.70bil) or 13 US cents (41 sen or HK$1.01) a share.
MCIL said on Monday to facilitate the proposed dividend, MCIL had proposed a capital reduction of US$219.78mil (RM700mil).
It
said the proposed dividend would be part financed by internal funds of
US$62.79mil (RM200mil) and part financed by new bank borrowings of
about US$156.98mil (RM500mil).
MCIL group CEO Francis Tiong
said the corporate proposals were in line with the group's initiative
to actively manage its capital effectively and efficiently and reward
its shareholders.
“The board believes that by part financing the
proposed dividend via new bank borrowings, the company would be able to
enhance its capital structure and mix without unduly burdening the
group in terms of its cashflow and earnings capability.
"Moreover,
with the company's track record of having a strong EBITDA, the company
should be able to support a net debt of US$124.85mil resulting from the
new borrowings,” Tiong said.