Parkson proposes RM109m cash distribution

PETALING JAYA: Parkson Holdings Bhd has proposed to vary the utilisation of the proceeds from its internal organisation to include a cash distribution of RM109.26 million or 10 sen per share to reward its shareholders, via a share premium account reduction.
The cash distribution is subject to the completion of the reorganisation plan that would raise about RM641.42 million. The plan would see its wholly-owned unit East Crest International Ltd dispose of its 67.6% stake in Parkson Retail Asia Ltd to Oroleon (Hong Kong) Ltd.
The proceeds were initially proposed to be used mainly for business expansion, new investment opportunities as well as working capital. The proposed distribution is expected to be completed by the first quarter of 2016.