Egypt's Oriental Weavers raises dividend after 30 pct profit rise

Reuters, Tuesday 18 Mar 2014

World's biggest machine-woven carpet maker says it will pay dividend of LE2 per share

Egypt's Oriental Weavers , the world's biggest machine-woven carpet maker, said on Tuesday it would pay a dividend of 2 Egyptian pounds ($0.29) a share after its net profit for 2013 rose almost 30 percent.

Shares in Egypt's Oriental Weavers on Monday hit their highest level since 2007 after the company said it was considering splitting each of its shares into five in a bid to boost liquidity and trading.

Net profit rose to 369.12 million Egyptian pounds last year on sales up 13 percent at 5.52 billion pounds, boosted by new designs, Oriental Weavers said in a statement.

Last year the company paid a dividend of 1.50 pounds a share on results for 2012, unchanged from the payout the previous year but down from the 2 pounds a share paid in 2011, according to Thomson Reuters data.

Egypt revised stock market regulations earlier this year to boost trading and attract more investment and a listed company no longer needs permission from the Egyptian Financial Supervisory Authority to split its shares if it complies with pre-set rules.

The board of Oriental Weavers has agreed the share split but the company said the final decision would be taken at an extraordinary general meeting.

Shares in Oriental Weavers rose more than 4 percent to trade at 47 pounds at 0844 GMT, putting its market value at 4.06 billion pounds.

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