Almarai’s [2280.SE] Board of Directors (BoD) has proposed a cash dividend distribution of SAR0.85/share (total of SAR850mn) for FY19, in line with our estimate. The dividend implies a DPO of 44% based on our 2019e earnings forecast and a dividend yield of 1.7%. The ex-dividend date will be the day following the AGM, the date of which is yet to be announced. On another note, the company’s BoD has appointed Majed Mazen Nofal as CEO effective 1 January 2020. Nofal was appointed Deputy CEO of Almarai in July 2019. He previously served as CFO, General Manager - New Businesses and Head of Central Procurement for Almarai since 2010. Former CEO Georges P. Schorderet will continue to serve as an advisor to the board.
: SAR50.00 as of 9 Dec. 2019, Rating: Neutral, TP: SAR50.00/share, MCap: USD13,334mn, ALMARAI AB/2280.SE