Salt Trading Corporation AGM approves dividend

KATHMANDU, APR 29:

Salt Trading Corporation (STC) will distribute 25 per cent dividend to its shareholders.

The annual general meeting of the government promoted trading corporation approved distribution of 15 per cent cash dividend and 10 per cent bonus shares today.

In the last fiscal year, the corporation had undertaken transactions worth Rs 4.31 billion. “In the first eight months of the current fiscal year, our transaction has gone up by almost 20 per cent with trading of consumer goods worth Rs 3.76 billion,” informed chairman of STC Laxmidas Manandhar.

Salt Trading Corporation is the largest distributor of iodised salt in Nepal and has a pretty big market share in sugar also. Since the last two years, the company has also started bottling and selling liquefied petroleum gas to consumers.

The corporation is one of the highest dividend payers among the listed companies. Last year, it had distributed 35 per cent dividend. Shares of Salt Trading Corporation were last traded in October, 2012 at Rs 226 per unit.

Dividend distribution of most of the active manufacturing companies in the country is more lucrative in comparison to frequently traded shares of financial institutions.

Unilever is the highest dividend paying company among companies listed at Nepse. It distributed a cash dividend of Rs 680 to shareholders from the profits earned last fiscal year.

Other two popular manufacturing companies — Bottlers Nepal Balaju and Bottlers Nepal Tarai — have also provided Rs 70 and Rs 85 per unit share, respectively, to shareholders.

Likewise, listed hydropower companies also offer better dividends in comparison to financial intermediaries.

This year, the three well-functioning listed hydropower companies — Chilime Hydropower, Arun Valley Hydropower and Butwal Power Company — distributed 50 per cent, 15.75 per cent and 25 per cent dividend, respectively.

Soaltee Hotel has also announced 52.63 per cent dividend. Nepal Telecom — the largest listed company — is distributing Rs 48 per unit as cash dividend.

Source: THT