Tee International

Tee International: OCBC upgrade to Buy with $0.38 TP. House announced that its scrip dividend scheme will apply to the final tax-exempt (one-tier) dividend of 2.5c per share for FY13. Management updates that the price for the new shares issued under the scheme will be set at not more than a 10% discount, nor shall it exceed the average of the last traded prices for the period between 9 Oct 2013 and 11 Oct 2013 (both dates included). Believe this scrip dividend scheme allows shareholders who are looking to re-invest dividends into the counter to do so conveniently, and also enable the group to retain such capital for allocation into future opportunities.