Publicly-listed water bottling company Pleass Global Limited (PBP) quoted an additional 38,892 shares on the South Pacific Stock Exchange (SPX) trading platform during pre-open session earlier in the week.
This was done through its dividend reinvestment scheme and the additional shares were quoted at $2.71 per share.
In its market announcement issued via the SPX, PBP declared a dividend of $0.02 cents per share on April 30, 2020, which amounted to a total dividend pay-out of $133,690.
It stated that of this amount, $28,293 was paid in cash dividends to shareholders preferring this mode while the remaining shareholders opted for dividend reinvestment.
It said total dividend reinvestment was valued at $105,397.
SPX chief executive officer Krishika Narayan said “this is the third consecutive dividend declaration where PBP shareholders have been offered an option to reinvest their dividend proceeds through a dividend reinvestment plan”.
“This is certainly a welcome trend noted by the SPX as the amount reinvested has stood higher at approximately 79 per cent in comparison to a lower amount distributed in cash.
“This investor behaviour statistically depicts that such initiatives are favoured by shareholders where they are able to reinvest their available earnings and expand their investment portfolio, which they may not do otherwise through their individual savings.
“This also augurs well for their long-term financial goals and the concept of compounding. The SPX anticipates other listed entities to foresee the benefits of such corporate actions and take queue as this empowers shareholders encouraging them for greater participation in the share market.
“Global equity markets are in an unprecedented situation at the moment while being severely impacted by the Coronavirus pandemic, which has sent ripples through international stock markets, businesses and the world economy.
“Understandably, investors have already started reconsidering their savings and investment priorities and as such from an investor perspective, it is certainly an opportunity for you to review your savings and consumption habits and move towards smarter and less impulsive decisions which can then be channelled into long term investments such as shares.
“For existing shareholders, you are urged to make informed investment decisions by following regular updates from the listed entities and maintaining a long-term view of your investments while considering the fundamentals of the listed entities you have invested in.”
Based on its most recent audited financial statements, PBP’s price earnings ratio (PE) now stands at 28.46 times with a dividend yield of 2.11 per cent and market capitalisation of $19,161,667.
The Earnings per Share (EPS) for the company stands at 10.01 cents.
PBP’s current market price is $2.85 with a total of 6,723,392 shares now quoted on the SPX trading platform.
