Unilever Consumer stock jumps 20%
The share price of Unilever Consumer Care Limited has jumped by 20.58% to Tk3,425.20 each at 1:24pm Sunday as there is no circuit breaker according to the annual corporate declaration.
The shares of Unilever Consumer Care were stuck at the floor price of Tk2,849 each for a long time.
On Sunday, its shares price increased by Tk574 each as the company declared 240% cash and 60% stock dividend for the first time for 2022.
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In 2021, the company paid a 440% cash dividend.
Explaining the reason for declaring a stock dividend in its price-sensitive statement, the company said the stock dividend has been recommended with the objective of potential utilisation of the retained amount as capital for future business expansion.
As per the board's decision, each shareholder will get 60 shares against 100 shares of the company.
When asked, Unilever Consumer Care's Chairman Masud Khan told The Business Standard (TBS), "Our company's shares are trading at high prices on the stock exchange. We intend to bring these shares within the reach of the common investors. So, we decided to offer stock dividends to shareholders, which will reduce the share price through dilution."
