D&L Industries raises capital stock 350% to P18B

Stockholders of D&L Industries on Monday approved a 350 percent increase in authorized capital stock via stock dividends so as not to dilute existing shareholdings in the company that customizes products for various industries.

 

"At the D&L Industries annual stockholders meeting held today, shareholders approved the increase in the company’s capitalization from P4.0 billion, or 4.0 billion shares, to P18.0 billion, or 18.0 billion shares, with par value of P1.00 per share," the firm said in a regulatory filing.

 

"The increase in capitalization ensures the company’s financial flexibility in the future. Further, implementing this through stock dividends instead of equity sales avoids shareholder dilution," the disclosure read.

 

The company declared a 100 percent stock dividend, totaling 3,571,428,995 shares to be issued out of the increase in authorized capital stock.

 

On top of the stock dividends, D&L Industries is paying a regular cash dividend of P0.15 per share, equivalent to P536 million, to shareholders on record as of June 30. Payment will be made on July 8.

 

The stockholders also approved the sale of a 6,000 sqm. property owned by subsidiary Chemrez Technologies. 

 

"With property ownership a non-core activity, the sale is consistent with the company’s focus of deploying resources of the manufacturing group to core operations," the company said.