Green Cross declares 15 cent special dividend

Green Cross declares 15 cent special dividend after reviewing capital structure

By Paul McBeth

July 28 (BusinessDesk) - Green Cross Health, formerly known as PharmacyBrands, will return $20.3 million to shareholders through a special dividend after reviewing its capital structure.

The Auckland-based company will pay 15 cents per share on Aug. 21 to shareholders registered at the close of trading on Aug. 7, after the board reviewed its capital and debt structure, Green Cross said in a statement. The primary health and pharmacy retailer has largely driven expansion through equity funding, and has settled on a new mix for debt and equity, it said.

"The company continues its objective to invest and grow in its business units through both acquisition and organically," Green Cross said. "The new mix of equity and debt provides a platform to pursue this objective whilst enhancing returns to shareholders."

The company made the announcement to the stock exchange while hosting its annual meeting in Auckland.

Earlier this year, Green Cross reported a 4.1 percent decline in annual profit to $14.4 million, while lifting sales 25 percent to $322.4 million.

The shares were unchanged at $2.14, and are up 0.9 percent this year, valuing the company at $289.6 million.

Green Cross's dividend reinvestment plan won't operate in respect of the special dividend, but will for future payments, it said.

(BusinessDesk)

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