MEPCO shareholders to vote on withholding FY19 dividend on June 7

Middle East Paper Co.’s (MEPCO) shareholders are set to vote on withholding cash dividend for the fiscal year 2019 during the ordinary general meeting that will be held on June 7, 2020, the company said in a bourse statement.

Shareholders will also vote on delegating the company’s board of directors to distribute interim dividend for FY2020 on a semi-annual or a quarterly basis and determine the eligibility and payment according to the Companies Law, in line with the firm’s financial position, cash flow and expansion plans.

According to data compiled by Argaam, MEPCO’s board of directors recommended, on March 18, withholding cash dividend for FY2019 to support future growth of the company’s activities and maintain solvency margin.