Colombo, 14 September 2026 – Renuka Foods PLC (CSE: RFL) has announced its intention to issue new ordinary voting and non-voting shares to its shareholders by way of a scrip dividend. This strategic move, detailed in an announcement to the Colombo Stock Exchange (CSE) on 12 September 2026, pertains to the First & Final Dividend for the financial year ended 31st March 2026.
Key Details of the Scrip Dividend Issuance
The company will list up to 1,222,677 new ordinary voting shares and 58,715 new ordinary non-voting shares on the Colombo Stock Exchange. This initiative follows “in principle” approval granted by the CSE on 7th September 2026, paving the way for shareholders to receive dividends in the form of additional shares rather than cash.
A scrip dividend offers shareholders the option to receive newly issued shares in the company instead of a cash payout, allowing companies to conserve cash while still rewarding investors. For shareholders, it can be an opportunity to increase their stake in the company without incurring brokerage fees for new share purchases.
Renuka Foods PLC has outlined the critical dates related to this scrip dividend:
- Annual General Meeting (AGM) Date: 24th September 2026
- Ex-Dividend (XD) Date: 25th September 2026 (subject to shareholder approval at the AGM)
- Record Date: 28th September 2026
The company has also confirmed that its Share Register will not be closed for the payment of this dividend, ensuring continuous trading and settlement operations.
Impact on Shareholders and Market
This scrip dividend proposal underscores Renuka Foods PLC’s commitment to returning value to its shareholders while potentially strengthening its capital base. The issuance of both voting and non-voting shares caters to different investor preferences and market segments, reflecting the company’s broader investor relations strategy.
As a prominent player in Sri Lanka’s food sector, Renuka Foods PLC’s corporate actions are closely watched by market participants. The listing of these new shares is expected to increase the total number of outstanding shares, and investors are encouraged to review the full details and consider the implications on their holdings once the dividend policy is formally approved at the upcoming Annual General Meeting.
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