This Govt Company Giving Up to 25% Additional Dividend To All Shareholders: Rs 15/Share Bonus!
Sources said that theWorld’s largest miner Coal India Ltd in its board meeting on June 14 that it is expected to reward its shareholders with an additional final dividend of 20-25 per cent while declaring the fourth-quarter financial results.
Despite failing to achieve targeted production and off take targets for FY21, the miner has surpassed the revised capital expenditure target of ?13,000 crore.
The sources said that the board will try declaring another round of dividend but it is expected to be less than two interim dividends of ?7.5 and ?5 on each share of ?10 each
?15 per share Bonus
The sources revealed that with final total dividend not less than ?15 per share, the total interim dividend for FY21 is ?12.5 per share and the final dividend could be ?2-2.5 per share.
Asits shareholding stands at 66.13 per cent, government will be the largest beneficiary of the dividend .
The stock market participants remained bullish despite analysts expecting weak fourth-quarter numbers. The stock rose by 6.24 percent during the week.
The initial target was ?10,000 crore, however the government asked to raise the capex target to support the economy and hence the capex target was raised to ?13,000 crore, said an official.
Compared to previous year’s capex outgo of ?6,270 crore, the capital expenditure for FY21 was at ?13,115 crore, a 109 per cent rise.
Various Capex Heads
Topping the list of capex heads for FY21 was heavy earth moving machinery at ?3,453 crore. This was followed by land at ?2,470 crore. Next was joint ventures, in proportion to CIL’s shareholding, like Talcher Fertilizers Ltd and Hindustan Urvarak & Rasayan Ltd accounted for ?2,194 crore. While the construction of rail corridors and railway lines amounted to ?1,166 crore, coal evacuation infrastructure spending included coal handling plants, silos and constructing sidings amounted for ?1,398 crore.