PETALING JAYA: Petroliam Nasional Bhd (Petronas)-listed companies are best positioned to significantly raise dividends that will help the Government to fund the RM250bil Prihatin stimulus package, according to UOB Kay Hian Research.
The brokerage’s argument is based on its screening process, which looks at government-linked companies (GLCs) with relatively more resilient cash flow, manageable capital expenditure requirements and solid balance sheets.
“In this respect, notable GLCs with capacity to raise dividends in the current environment are PETRONAS CHEMICALS GROUP BHD
(PetChem), Petronas Dagangan Bhd (PetDag), MISC BHD, PETRONAS GAS BHD, Tenaga Nasional Bhd (TNB) and RHB Bank Bhd, ” UOB Kay Hian wrote in its report yesterday.
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