Master Feed recommends 10% cash dividend

Master Feed Agrotec – which is traded at the SME platform of the Dhaka Stock Exchange (DSE) as a low-cap company – has recommended a 10% cash dividend for its shareholders for the fiscal 2021-22.

But its sponsors and directors will not take the dividend as the feed manufacturer suffered an operating cash crisis in the last fiscal year, said a source in the company.

According to a stock exchange filing, Master Feed will hold its annual general meeting (AGM) on 30 November for getting shareholders' approval on the audited financial statement and recommended dividend.

The company – which is mainly engaged in manufacturing and marketing poultry, fish, and cattle feeds – has set 27 September as the record date for the AGM.

In the last fiscal year, the earnings per share of the company, which is also engaged in poultry and fish farming, stood at Tk1.11, 5% lower than the previous year.

At the end of FY2022, its net asset value per share stood at Tk15.14 and the net operating cash flow per share at negative Tk2.14. Negative operating cash flow means the firm has a deficit in cash flow.

Currently, its shares are traded at Tk25.80 each on the DSE SME platform.

Last year, Master Feed Agrotec went public to raise Tk10 crore from the capital market through a qualified investor offer.

Incorporated in 2011 as "Master Hatchery and Poultry Feed Limited", it was renamed as "Master Feed Agrotec Limited" in 2018.