Members of the public under the banner of Minority Shareholders Association of Listed Companies (Misalico) have reiterated the need for the government to offload its shares in Sunbird Tourism Limited.
This came out during the company’s annual general meeting (AGM) held in Blantyre on Friday.
Currently, the government of Malawi is the largest shareholder with 71 percent shares, Press Corporation plc owns 15 percent while members of the public own 14 percent.
In an interview, Misalico General Secretary Frank Harawa said the alternative is for the company to issue more shares on the market.
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“This has been our cry for a long time, it is years now and little is being done. So, we have asked to meet the major shareholder. Because, if the shares in issue are few, at the moment 250 million shares and 71 percent are in the hands of the government, what the public gets is not enough.
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“…Because of that, you find that there is no liquidity in the market and the share price cannot move up so all of us are losing. We want them to come up with something to make sure that there is movement on the market in regard to Sunbird shares,” Harawa said.
Sunbird board Chairman Vilipo Munthali said they have had engagements with both parties, however, the matter can be discussed among themselves.
“We represent the interests of both parties but I am sure they are now in a meeting. Not a formal one, it is a very informal meeting, but perhaps it could be a new beginning. Because it looks like previously, the majority shareholder was not meeting the minority shareholder as it were. But now they will be able to discuss those concerns.
“However, selling or buying shares is an individual choice. You cannot force someone to go and sell those shares. There must be some circumstances, special circumstances that may force you to sell your shares. So, we reflected on the same, and we shared with the minority shareholder,” Munthali said.
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Meanwhile, the AGM approved a final dividend of K1.495 billion representing K5.70 per share in respect of the financial year ended December 2023.
An interim dividend of K523 million representing a dividend per share of K2.00 was paid in November 2023 hence this will bring the total dividend for the year to K2.018 billion representing K7.70 per share.
This represents a 285 percent increase in dividend when compared to the K524 million total dividend paid out in 2022.
