KARACHI, July 12: Pakistan Premier Fund (PPF), a closed-end fund, managed by Arif Habib Investments, has declared a bonus of 25 per cent (one share for every four shares held) for the year ended June 2004.

This takes the total payout in 2003-04 to 37.5pc, as PPF has already announced a 12.5pc interim cash dividend (Rs1.25 per share) for PPF in October 2003. Besides the 37.5pc payout for 2003-04, PPF has also declared an interim cash dividend 15pc (Rs1.50 per share) for the current year (2004-05).

The company has also proposed to increase its authorized capital to Rs1,500 million from Rs800 million, with a subsequent right issue of 50pc at a premium of Rs2 per share.

Both, the bonus dividend of 25pc and the interim cash dividend of 15pc, and right shares are applicable on existing capital of 67,500,000 shares. The interim cash dividend will be payable on shares held prior to the bonus issue. The right shares will not be entitled to the interim cash or bonus issue.

The PPF AGM will be held on August 7, and the book closure will be from August 4 to 7 (both days inclusive). Profit after tax of PPF increased by 32pc to Rs446 million (EPS of Rs6.74), while its net assets improved by 88pc to Rs1,222 million.

For the year, total income is composed of Rs319 million from capital gains, Rs48 million from dividend income and Rs86 million from unrealized appreciation in the value of the portfolio. Arif Habib Investments manages three open-end and two closed-end mutual funds, with over Rs7.5 billion of assets under management.