Eco World International Bhd (EWI) has experienced a significant surge in trading activity, with 34.15 million shares changing hands, more than 23 times its average volume. This surge comes after the company’s announcement of its first interim dividend of 33 sen per share. The stock rose by 7.8%, or five sen, reaching 69 sen in the early session, leading to a market valuation of RM1.66 billion.
EWI’s decision to declare a first tranche dividend of RM792 million, payable on September 23, has spurred investor interest. This dividend declaration follows the successful completion of the reduction of issued share capital, a move that was anticipated after the company’s August 3 announcement.
Notably, the largest shareholders of EWI, including Datuk Leong Kok Wah and Tan Sri Quek Leng Chan, stand to receive significant portions of the dividend. This includes 70% or RM550.76 million of the total dividend, showcasing the impact of the company’s strategic decisions on its key stakeholders.
The combination of the dividend announcement and the surge in trading activity highlights the positive sentiment surrounding Eco World International’s stock and its financial performance.
