Teckwah stands by its cash management policy

Singapore

PACKAGING printing and logistics firm Teckwah Industrial has stressed the need for a sound cash management policy, in response to calls from activist fund Quarz Capital Management to raise dividend payouts amid a downtrend in its earnings.

In a July 28 letter to Teckwah, Quarz had urged the mainboard-listed firm to increase annual dividends to 80 per cent of net income, to address issues of cash discipline and operational efficiency. The firm paid out S$3.5 million or 32 per cent of net profit as dividends in 2019.