Fabric-maker Kwong Hing International Holdings has distributed a $30 million special dividend from inner reserves to its directors ahead of its float on March 19.
The inner reserves will be replenished by $16 million net proceeds, more than half of the total $33 million from a share sale today.
The sale will include 33.75 million new shares and 11.25 million existing shares priced at $1.20 each, in an initial public offering in which directors will cash in $13.5 million before expenses.
The special dividend was distributed to the four Kwong Hing executive directors, also founders, siblings and shareholders, Rocky Li Man-ching, May Li Mei-lin, Li Man-shun and Michael Li Man-tak.
They recommended no dividend for the year to March 31 this year.
Michael Li said the special dividend was the first since Kwong Hing's business was founded five years ago.
'We spent the dividend funding the purchase of some properties held by the company,' he said.
