Coal India's second interim dividend likely to be Rs 4-5 per share

KOLKATA: State-owned Coal India's second interim dividend could be in the range of Rs 4-5 per share as it is working to match the previous year's total dividend amid an outstanding of Rs 25,000 crore, coupled with sluggish demand, sources said on Thursday.

The miner had announced Rs 7.5 per share as the first interim dividend in November. The board of Coal India is slated to meet on March 5 as it mulls to pay a second interim dividend.

Sources told PTI that Coal India is facing a tough time but it is working to match at least last year's total dividend payout, which was Rs 12 per share. "We will try to support our best in these trying times for the government," a source said.

As the miner has already paid Rs 7.5 per share as the first interim dividend, it is likely to announce another dividend of Rs 4-5 per share, the source said. However, all the aspects will be debated at the board meeting, as per the source.

The source said that this will be the final dividend for the year. The miner has also revised its capex plans to Rs 13,000 crore from Rs 10,000 crore after the government asked it to push expenditure to spur demand in the post-lockdown period.

However, the outstanding continued to mount and reached Rs 25,000-crore-level even as the government announced Rs 90,000 crore liquidity infusion to support the gencos.